What is Cash? In finance and accounting, cash refers to money (currency) that is readily available for use. It may be kept in physical form, digital form, or invested in a short-term money market product. In economics, cash refers only to money that is in the physical form. Cash in Business Operations Cash is the...
What is Window Dressing? “Window dressing” is commonly used to refer to the way a pedestrian facing the window of a retail business is presented to make their goods look most appealing. However, when it is referenced by the finance world, the term means something slightly different. In finance, window dressing refers to the efforts...
What are Equity Issuance Fees? “Equity issuance fees” is the accounting term used to reference the costs a company incurs when they introduce securities into the market. A company commonly introduces shares of capital stock when it’s looking to grow its business, expand its operating footprint, and establish a broader base of shareholders. The Fees...
What is the Trailing P/E Ratio? The trailing price to earnings ratio – trailing P/E ratio – is the most commonly used of the P/E variations (trailing versus forward). The trailing P/E ratio accounts for a company’s actual earnings instead of its projected earnings. It is considered one of the most accurate ways of determining...
What is Stock Performance Benchmarking? Stock performance benchmarking is a strategy employed by investors to help determine the different performance aspects of an investment portfolio. Investors typically use benchmarking to get a better assessment of a portfolio’s return, how risky it is as a whole, and how to allocate funds within the portfolio to minimize...