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What Does ‘How to Calculate Marginal Cost’ Mean?
How to Calculate Marginal Cost If you are a college student studying business and finance, then you should know how to calculate marginal cost. Marginal cost is the cost incurred by producing one additional unit of a good or service. Calculating marginal cost is important because it helps you understand the relationship between costs and…
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What Does ‘Martingale Strategy’ Mean?
Introduction to Martingale Strategy Martingale strategy is an investment strategy that involves adjusting the amount invested in a particular asset class depending on the outcome of previous trades. The idea behind this strategy is that if you lose on one trade, you can increase your investment on the next one to recoup your losses. This…
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What Does ‘Mortgage Credit Life Insurance’ Mean?
Mortgage Credit Life Insurance: What You Need To Know Are you a college student learning about business and finance? If so, you might have heard about mortgage credit life insurance. Before you decide if this type of insurance is right for you, it is important to understand what it is and how it works. Mortgage…
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What Does ‘Bank Custodian’ Mean?
What Is a Bank Custodian? A bank custodian is a specialized financial institution or individual that is responsible for safeguarding financial assets on behalf of customers. It is a trusted third party that keeps track of customer investments and transactions and is responsible for safekeeping securities and other assets. The main role of the custodian…
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What Does ‘Custodian Banks’ Mean?
What Is a Custodian Bank? A custodian bank is a financial institution that acts as a professional fiduciary responsible for safely holding and maintaining assets for individuals or companies. Custodian banks generally provide two main services: custody of assets and securities, and trustee services. Custodian banks are also known as custodians, custodian institutions, or trust…
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What Does ‘Golden Handcuffs’ Mean?
The Meaning Behind ‘Golden Handcuffs’ Golden handcuffs is a type of financial arrangement created to encourage executives or employees to remain with a company. The incentive is based upon the promise of a large, one-time bonus that is given within a certain period of time after signing a contract agreement. These bonuses are designed to…
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What Does ‘Custodial Bank’ Mean?
Understanding Custodial Banks Custodial banks are financial institutions that specialize in the safekeeping and management of assets, such as stocks, bonds, and mutual funds, on behalf of clients. They are also sometimes referred to as custodians, securities custodians, or trust companies. Custodial banks provide a secure home for assets and provide assurance that they remain…
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What Does ‘Liquid Assets’ Mean?
What Are Liquid Assets? Liquid assets are important for any business or individual to have, but what do they mean? A liquid asset is an asset that can easily be converted to cash, such as a bank account or money in the form of cash. Liquid assets are important for businesses because they can fund…
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What Does ‘ATM’ Mean?
What Is ATM? ATM stands for Automated Teller Machine, and it is an electronic banking terminal that allows customers to make financial transactions such as deposits, withdrawals, and transfers without needing to talk to a bank representative in person. ATMs connect customers directly to their bank’s computer system and offer a wide range of banking…
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What does ‘Joint Tenants vs Tenants in Common’ Mean?
Joint Tenants vs Tenants in Common As college students, it is important to familiarize yourself with basic business and finance principles so that you can be prepared to make informed choices when necessary. One important concept related to business and finance is the difference between joint tenancy and tenancy in common. Joint tenancy occurs when…
