AFTER-TAX PROFIT MARGIN
A ratio of the financial performance which is calculated through the division of its net income after taxes by its net sales. The after-tax profit margin of a company is vital because it shows the investors how much is the percentage of money the company actually earns when converted to dollar of sales. The interpretation of this ratio is similar to profit margin; the after-tax profit margin is just more stringent because the taxes are taken into account.
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Target Return
Pricing model used in valuing a business based on what an investor expects from any capital invested in the firm. It is computed by adding the amou ...
Remainder Man
An individual who receives the remaining principal in a trust account after all required payments have been made, such as those to the beneficiary ...
Average Collected Balance
The total average of the collected funds in a bank account in a month. The balance is calculated by adding the collected balance and dividing it by ...
Bankable Funds
Forms of payment that are accepted at financial institutions. Retailers and other organizations that directly accept payments from customers typica ...
Prudent-Person Rule
A legal maxim that restricts the discretion in a client's account to investments that a prudent person seeking reasonable income and preservati ...
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