• Actuarial science is the discipline that uses mathematics, probability, and statistics to estimate the financial consequences of uncertain future events. Practitioners—actuaries—translate probabilities (for…
An actuarial life table (also called a mortality table or life table) is a structured set of numbers that gives, for each age, the…
• Actuarial gain or loss: the change in the measurement of a defined‑benefit pension plan’s projected benefit obligation (PBO) that arises when the actuarial…
• ADP (Actual Deferral Percentage) test: a compliance check that compares the average percentage of pay that highly compensated employees (HCEs) set aside into…
An activity ratio (also called an efficiency ratio) quantifies how well a company uses balance-sheet resources — like receivables, inventory, and assets — to…
Key terms (defined on first use) – Overhead: costs that are not directly traceable to a single unit of product (examples: utilities, supervision, machine…
An activist investor is usually a specialized hedge fund or other investor that buys a sizeable minority stake in a public company with the…
Active management is an investment approach in which a person or team continually monitors a portfolio and makes explicit buy, hold, and sell decisions…
• Acquisition premium: the extra amount an acquirer pays above a chosen measure of a target’s value to secure a takeover. It is usually…
• Definition: An acquisition is a corporate transaction in which one company buys most or all of another company’s shares or assets so it…