Kembara’s Financial Solutions- What is an Adjustable Rate Mortgage?
It is a mortgage where the interest rate is adjusted based on periodic intervals. It reflects the prevailing rate of interest in the money markets. The cap or ceiling is provided to avoid the interest rate from rising.
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Kembara’s Financial Solutions- What is an Adjudication?
Adjudication is a decision or judgment of the court such as in bankruptcy proceedings. Kembara’s Financial Solutions – What is an Additional Voluntary Contributions?
It is an extra contributions made by the employees either into a scheme of their own choice or the employer’s pension scheme in order to increase the benefits available on retirement. Kembara’s Financial Solutions – What is An Additional Paid In Capital?
Additional paid in capital is the excess received from stockholders over the par value of the issued stock. Kembara’s Financial Solutions – What is an Adaptive Exponential Smoothing?
Adaptive exponential smoothing is a quantitative forecasting method. In this method the averages derived from historical data are smoothed by a coefficient. The coefficient is allowed to fluctuate with time in relation to changes in demand pattern. The smoothening effect is greater with the larger coefficient. Kembara’s Financial Solutions – What is an Adaptive Expectations?
Adaptive expectations are based on the economic macro theory. It is a hypothesis that the economic agents form expectations or forecasts of the future values of certain economic variables by adjusting past values of the variable. This however may lead economic agents to make systematic forecasting errors. This theory has been replaced with rational expectations. Kembara’s Financial Solutions – What is an Actuary?
Actuary is a professional who is trained in statistics and mathematics and its applications in the field of general insurance and life assurance. They are employed by insurance companies to calculate the length of life and advice the insurers on the amount that need to be considered to pay claims as well as premium that need to be charged for each type of risk. Besides that, they also advised on the pricing of insurance contracts and also the pension funds administrations. Kembara’s Financial Solutions – What is an Actuarial Surplus?
Actuarial surplus is the rises of the surplus as a result of the overfunding. Kembara’s Financial Solutions- What is Actuals?
Actuals are commodities. These commodities can be purchased and used as opposed to goods on a future contract. It also means a receipt or expenses which have occurred as opposed to budgets, target or other projections. In future contracts or forward dealing it also means the commodity underlying a contract. Kembara’s Financial Solutions – What is an Activity Based Costing?
It is method that being introduced by Professor Johnson and Kaplan. The method stated that costs are incurred by each activity which takes place within an organization. The customers or products should bear the costs according to the activities they use. Activity based accounting is thought to be accurate cause and effects allocations of cost which cannot be obtained from traditional costing |
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