Adjusting Journal Entry: Definition, Purpose, Types, and Example
• An adjusting journal entry is a record made at the end of an accounting period to recognize income or expenses that have occurred…
Adjusted Closing Price
• Definition: The adjusted closing price is a historical closing price that has been modified to reflect corporate actions (stock splits, dividends, rights offerings,…
Adjusted EBITDA: Definition, Formula and How to Calculate
• EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a profitability proxy that removes financing costs (interest), tax effects, and…
Adjustable Life Insurance: Definition, Pros & Cons, vs. Universal
• Adjustable life insurance is a form of permanent life insurance that you can change after you buy it. Key policy features — mainly…
Adjudication? Definition, How It Works, Types, and Example
• Adjudication is the formal legal process by which a judge or other authorized decision-maker examines a dispute and issues a binding decision. It…
Adhesion Contract: Definition, History, and Enforceability
An adhesion contract (also called a standard-form, boilerplate, or take-it-or-leave-it contract) is a written agreement prepared by one party—usually the seller, service provider, or…
Addition Rule for Probabilities Formula and What It Tells You
The addition rule for probabilities gives a way to compute the chance that at least one of two events occurs. There are two forms:…
Additional Paid-in Capital: What It Is, Formula, and Examples
• Definition: Additional paid‑in capital (APIC) is the amount shareholders pay to a company for newly issued shares above the stock’s par value. Par…
Additional Child Tax Credit (ACTC): Definition and Who Qualifies
• The ACTC is the refundable portion of the Child Tax Credit (CTC). A refundable credit can produce a refund even when your tax…
Add on Interest
• Add-on interest is a loan pricing method that fixes the total interest charge at the start of the loan. The lender computes interest…