PIPE Investors – Private Investment in Public Equity (PIPE) Private investment in public equity (PIPE) refers to PIPE investors buying a block of newly issued stock from a publicly-traded company. Usually, at a price below the current market value. This purchasing strategy is used by investment firms, mutual funds, and […]
Finance
What Are Nonparametric Statistics? Nonparametric statistics is a statistical inference method focusing on rankings rather than numbers or underlying distribution assumptions. With nonparametric statistics, data are not expected to come from specified models determined by a small number of parameters. Examples of such models include the normal distribution model and […]
What Is Absorption Costing? Absorption costing is an accounting method and reporting standard that tracks and allocates expenses associated with a manufacturing process to distinct products. It is sometimes called full costing. As an accounting method, it captures all fixed and variable costs associated with manufacturing a particular product. The […]
What is an Efficiency Ratio? An efficiency ratio is a financial metric that measures a company’s internal ability to effectively manage its assets and liabilities. There are a number of ratios used in corporate finance to assess a company’s or financial institution’s operational efficiency. Ultimately, these ratios assess a company’s […]
LIFO Method – What Is Last In, First Out? The LIFO Method of accounting stands for last-in, first-out. It means the latest purchased or produced goods are considered as sold and expensed first. In other words, the cost of the most recent product acquired (or created) is the first to […]
What Is Receivership? Receivership is a court-appointed condition placed on a company to protect property controlled by a person sued in court. It is a legal remedy available to secured creditors to recover outstanding amounts in the event the company defaults on its loan payments. Receivership and bankruptcy are not […]