BARGAIN PURCHASE OPTION
An option within a lease agreement which permits the lessee to buy the leased asset at the termination of the lease period at a value much lower than its fair market value. Bargain to purchase option belongs to one of the four criteria, any of which, once satisfied, would oblige the lease to be classified as a financing or capital lease which must be disclosed on the balance sheet of the lessee. The reason of this classification is to bar "off-balance sheet" financing of a lessee.
POPULAR TERMS
Maximum Loan-to-Value Ratio
Maximum allowable ratio of a loan’s size to the property’s value that is securing the loan. Lenders measure the risk using loan-to-valu ...
Cash Return on Assets Ratio
Ratio used to differentiate a business’ performance against other industry members. The company’s analysts may use the ratio internally ...
Retention Bonus
A reward given to an employee that serves as an incentive to keep that key employee on the job during a significant business cycle, like a merger o ...
Infrastructure
Basic physical systems of a business or country such as roads, utilities, transportation, communication, sewage, and water and electric systems, am ...
Cost Control
Act of managing and/or reducing business expenditures done by determining the costs and evaluating if such expenses are affordable and reasonable. ...
POPULAR ARTICLE
SEE FOREX TUTORIAL
Principles of Trading: Charting
Where can you see market movements? Charts. Thanks to technology, traders can view as many market information as they can in one go. But not all ch ...
Digesting Financial Statements: Long-Lasting Assets
Long-lived assets, also known as non-current assets, is any asset a company expects to keep for at least one year. Such assets are expected to boos ...
Student Loans: Consolidating Private Loans
Fixed interest rates.
That is one viable reason for consolidating private loans although you are not mulling over that option. Private lo ...
Principles of Trading: Well Known Trading Instruments
Traders look at two primary factors when choosing the instruments they desire to trade: liquidity and volatility. Liquidity is the extent to which ...
Options Transaction Via Day Trading
Given so many concepts and terminologies in the foreign exchange market, anyone outside the field of finance may have a hard time coping up. Howeve ...
ECONOMIC CALENDAR
Time | Country | Indices | Period |
---|---|---|---|
05:00 | Credit Card Spending | Mar | |
14:30 | Industrial Product Price Index | Mar | |
14:30 | New Housing Price Index | Mar | |
14:30 | Raw Materials Price Index | Mar | |
16:00 | Consumer Confidence | Apr | |
02:30 | PMI Manufacturing | Apr | |
02:30 | Tertiary Industry Index | Apr | |
02:30 | PMI Composite | Apr | |
08:00 | Public Sector Net Borrowing | Mar |