When transacting, bid and ask are very important concepts that many retail investors overlook. The current stock price is the price of the last trade - a historical price. The bid and ask are the prices that buyers and sellers are willing to trade...

Sectors most sensitive to GDP growth are usually those tied directly to economic expansion and consumer activity. These are known as cyclical sectors because their performance rises and falls with the business cycle.

A stock split and a reverse stock split both change the number of shares a company has outstanding, but they do so in opposite ways and for very different reasons.

Management of the brand of owners or consumers (including permanent ones). Object management implies a technique for observing and influencing objects: targeted changes and targeted refusals to make changes. Maximizing a brand's potential is the...

Stocks suit both active and passive investors because they offer flexibility in how people participate in the market. Active investors enjoy stocks because they can trade frequently, analyse price movements, follow earnings, and respond to news. The...

Preparing for future bear markets is a prudent strategy for investors looking to safeguard their portfolios and financial well-being. Bear markets, characterized by extended periods of declining stock prices, can be challenging, but there are several...

A cash-over situation occurs in a business when the physical cash in the register or cash drawer exceeds the recorded amount in the books or point-of-sale (POS) system. This discrepancy typically arises due to errors, operational inefficiencies, or...

A forward contract is not the same as a futures contract. Both agreements bind traders to buy and sell an asset (or settle the exchange in cash) at a predetermined price in the future. However, there are a few key differences between them, which are...

Earnings reports are one of the most important sources of information for investors and traders because they show how a company is actually performing, not how it is expected to perform. These reports provide detailed data on revenue, profits,...

A balloon payment is a large, lump-sum payment due at the end of a loan term after a series of smaller, regular payments. During the life of the loan, the borrower typically pays interest and sometimes a portion of the principal. However, those...