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WACC

The rate a company pays to finance its assets. The weighted average cost of capital (WACC) rate tells a firm...

Weighted Average Cost of Capital

The rate a company pays to finance its assets. The weighted average cost of capital (WACC) rate tells a firm...

Owners’ Residual Interest

The owners' rights in an entity's assets after deducting all its liabilities. Residual interest reflects the amount of equity (owners'...

Residual Interest

The owners' rights in an entity's assets after deducting all its liabilities. Residual interest reflects the amount of equity (owners'...

Total Capitalization

The combination of long-term debt, preferred stock, and common stock. Generally speaking, it is the market value of equity plus...

Negative Equity

An equity that has a negative value. This situation arises when an asset is worth less than the money used...

Return On Net Worth

Also return on equity (ROE). It is a profitability measure that indicates how efficiently the company did invest and manage...

Partially-Protected Equity-Linked Note

An equity-linked note (ELN) that allows the investor a full participation on the upside, while its protection on the downside...

Equity Instrument

Any financial instrument that confers on its holder a residual interest in the net assets of an entity (its assets...

EMA

It stands for equity method accounting; an accounting method for treating investments in associates (associate companies). Equity accounting is usually...