Sight Draft
Meaning of Sight Draft Sight Draft is a financial instrument that is payable when it is presented, similar to a cheque. It is the most preferred form of payment …
ABC Analysis – Meaning, Categorization, Advantages, Disadvantages and Treatment
ABC Analysis is an inventory management technique that a company can use for the complete chain of materials and distribution management. In other words, we may also call it …
Time Draft
Meaning of Time Draft Time Draft is a document acknowledging a promise to make a payment after a specific period. It is usually used in international trade and provides …
IPO Underpricing – Meaning, Formula, Reasons And More
What is Underpricing? Underpricing is a phenomenon in a finance world where a company, going for IPO (initial public offering), prices its shares below its real value. A stock is …
Supermajority – Meaning, History, Drawbacks And More
Supermajority, as the word suggests, is the requirement of more than a simple majority (of 51% or more). In the financial world, this word comes into use as an …
Variation Margin – Meaning, Example, Importance and More
Variation margin (VM) (or Mark To Market Margin) is an essential part of the derivatives market. It is the extra money that a clearing house member needs to deposit …
Contract Manufacturing
Meaning of Contract Manufacturing Contract manufacturing is a process in which a company outsources its production to a third party in return for a mutually decided fee or remuneration. …
Bid vs Ask – All You Need To Know
The stock exchanges have various jargons that are known to experienced traders, but for a beginner, these would be entirely new. However, almost everyone would have heard the two …
Cost Estimation – How to do it? and its various Methods
Cost Estimation in Project Management Cost estimation is the process of forecasting the cost of completion of a project, task or operation. It considers all factors related to the …
Toll Manufacturing
Meaning Toll Manufacturing or Toll Processing is a process in which a company provides raw materials or semi-finished goods to a third-party servicing company. The third-party company is responsible …
