Financial statements are a reflection of the loyalty of a company. They are part of a document or report that compiles precise data on the accounting of a company. Within the definition of the financial statements we also have to take into account that the stipulated period of time to calculate them is developed annually. … Read more
The concept of free float, in English known as free float, refers to the number of shares in circulation that are available to users to acquire through the market bursátil. These shares do not remain controlled by the dominant group or the company's strategic investors, so they could be freely bought in secondary markets. The … Read more
Expense forecasting is a term used in the business planning and strategy sector. It refers mainly to the decisions that companies will make in the future about operations, production and income. To do this, it is necessary to anticipate market movements, customer interests and the adaptation of businesses to new demands. Intensive study is required … Read more
Factoring is a type of credit transfer operation that allows a company to obtain immediate liquidity. In other words, factoring is an operation that allows the company to have money quickly in advance for the collection of pending invoices that the company has from third parties without having to opt for the commercial discount. Terms … Read more
FIFO is understood as a method of accounting designed for the valuation of inventories, whether it is products, raw materials or components. It comes from English, "first in, first out" and in Spanish it is known as the PEPS method, "first inputs, first outputs". Since inventoried goods are not bought at the same price, for … Read more
The fixing is an economic system that can have two meanings. The first of them is related to stock markets. It is a trading system for securities with little liquidity. But it can also be a system of exchanging one currency in relation to the others. The official fixing is published by the central banks, … Read more
Financial institutions are organizations specialized in the accumulation of capital and the provision of financial services to the different economic agents of society. They are companies that generally act as intermediaries and that facilitate the flow of money through the economy. Below, you can find the different types of institutions or financial entities that currently … Read more
Financing costs are understood to be those costs incurred by a company, as a result of the use of third-party funds to acquire assets. The financial costs cover both the price of money, that is, interest, as well as other types of remuneration such as commissions, administration costs, or others, related to the formalization of … Read more
A factoring contract is a means of financing for small and medium-sized companies. The concept of factoring contract means that a company (customer) hires another (financial, factor) so that the latter can provide you with solvency and financial resources with which to deal with your credits, accounts receivable and also your defaults. Thus, one of … Read more
A future contract, commonly referred to as a “future”, is a financial mechanism that belongs to the group of derivative contracts. In this type of contract, two parties agree to a price determined in the present for a future date by exchanging an asset that may be materials, real estate, physical assets or financial assets. … Read more
