A critical analysis of cash flow statement is vital information for a company’s management team and for both prospective and current stockholders. By understanding the basics of cash flow management, company management are better equipped to make financial decisions regarding such issues as whether...

Source: financial-education.com Depreciation can be a component of both cost of sales (depreciation on manufacturing equipment) and selling, general, and administrative expenses (depreciation on sales offices). Depreciation is the allocation of the cost of assets that are expected to provide benefits...

P/E (Price to earnings Ratio) is one of the important statistic that we usually look at to measure how attractive the valuation of the stock currently is. This ratio indicates the A valuation of a company’s current share price compared to its per-share earnings. Hence it indicates how the company...

Mutual funds are diverse stock holdings which are managed on behalf of the investors who buy into the fund. Mutual funds allow investors to take advantage of a diversified portfolio without the need of investing a large sum of money. A diversified portfolio carries the advantage of offering protection...

The stock marjet orders that are placed with the exchanges for buying or selling stocks can be classified into different types. An instruction to buy or sell a stock at the current market price is called a “market order.” This order is usually executed near the quoted price at the time of the order...

A stock market is a public market for the trading of company stock and derivatives at an agreed price;  these are securities listed on a stock exchange as well as those only traded privately. The stocks are listed and traded on Stock Exchanges which are entities a corporation or mutual organization...

Stocks gives investers a share of the company and hence the value of stocks can move up or down based on the performance of the company. The investors who invested in stock gain from the profits of the company in the form of dividends. In contrast, Bonds are bought to make a loan to a Company or Government....

A share of stock also referred as ‘equity share’ represents a limited liability share of ownership in a company. The persons or institutions who own such stocks are called shareholders of the company. Stocks are generally issued by the companies generally through initial public offerings...