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Tip of the Day Pay All Credit Card Balances In Full Each Month

Pay All Credit Card Balances In Full Each Month - It is necessary to pay all credit card balances in full each month to prevent paying extremely high interest rates...

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Absolute Priority Rule

Absolute Priority Rule - The absolute priority rule kicks into play on the stock market when an event occurs that forces a business into a liquidation or re-organization. Unfortunately, for the shareholders in the business, creditors get to dip their fingers into the pot and retrieve the full balance of what they are owed; whereas shareholders only receive compensation after the creditors have been paid out and generally, they receive only a percentage of what is owned to them. Therefore, when it comes right down to it, being a shareholder is rather a big gamble once the business gets in trouble. Who said being a creditor wasn't good business, seems like it comes with a guarantee.

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Definition of the Day Coverage Ratio

Coverage Ratio - the term coverage ratio is a type of accounting tool that helps measure a company’s ability to survive and grow.  Simply by comparing the company’s assets (gross profits) and liabilities (expenses) are a form of figuring the coverage ratio. The higher the assets, and the lower...

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