What is Nominal Gross Domestic Product (Nominal GDP)? Nominal Gross Domestic Product (Nominal GDP) is the total market value of all goods and services produced in a country’s economy over a given period. Unlike other GDP measurements, nominal GDP is not adjusted to account for price changes from inflation and deflation. It means that it…
What is a Manufacturer? A manufacturer is a person or company that produces finished goods from raw materials by using various tools, equipment, and processes, and then sells the goods to consumers, wholesalers, distributors, retailers, or to other manufacturers for the production of more complex goods. History of Manufacturing Manufacturers are considered a significant part…
What is an Annual Turnover? Annual turnover is a measurement to describe a fund’s annual trading activity. It is a percentage used to demonstrate how many holdings a mutual fund or exchange-traded funds (ETF) were replaced within the year. Essentially, the annual turnover will help to show the purchase or sale of securities within a…
What is an Amended Return? An amended return is filed with the tax authority to make corrections to a previous year’s tax return. The tax return’s amended version can increase tax benefits or tax liability, depending on the amendment. To file an amended return in the US, an individual must fill out a 1040X form,…
What is a Purchase Order? A purchase order is a commercial source document that is issued by a business’ purchasing department when placing an order with its vendors or suppliers. The document indicates the details on the items that are to be purchased, such as the types of goods, quantity, and price. In simple terms,…
What is the Enron Scandal? The Enron scandal is likely the largest, most complicated, and most notorious accounting scandal of all time. Through deceiving accounting tricks, Enron Corporation – the US-based energy, commodities, and services company – was able to trick its investors into thinking that the firm was doing much better than it actually…
What is an Anticipatory Breach? An anticipatory breach is when a contract is not fulfilled, and an entitlement to legal remedy occurs. Repudiation occurs when the promisor refuses, or explicitly states, that they will not honor their contractual obligations before the predetermined contractual end date. It can be exercised when the promisee provided consideration in…
What is Aggregation? Aggregation is the consolidation of an individual’s financial data from multiple institutions to one singular institution. Account aggregation, as a finance management concept, is typically completed by an individual’s financial planner to create cohesion, clarity, and simplicity. The aggregation will include creating a central view of a client’s banking accounts, credit accounts,…
What is Logistics? Logistics, or logistical planning, refers to the process that a business uses in order to coordinate its supply chain operations. It includes a wide variety of tasks and activities, such as managing how raw materials or inputs are acquired and transported to the business, how inventory and inputs are stored at the…
What is an Air Waybill (AWB)? An air waybill (AWB) is a legally binding transport document issued by a carrier or agent that provides details about the goods being shipped. It provides detailed information on the contents of the shipment, the sender and recipient, terms and conditions, and other information. The AWB is a standard…
