Author: John

Alternative Data for Retail Investors and Hedge Funds

If you’re like most people, you probably think of alternative data as something that is only used by large financial institutions and hedge funds. However, alternative data can be used by retail investors to improve their investment strategies and achieve better returns. In this blog post, we will discuss what …

Escrowed Share: Meaning, Accounting, How Escrow Accounts Work

In the world of finance, an escrowed share is a type of security that is held in an escrow account. This means that the shares are not immediately available for trading, but are instead held in a neutral third-party account. The purpose of this arrangement is to protect the investors …

Alternative Data vs. Traditional Data: What’s the Difference?

When it comes to data, there are two main types: alternative data and traditional data. Alternative data is any type of data that falls outside of the traditional sources like financial reports and surveys. This can include data from social media, satellite imagery, internet search trends, and more. Traditional data …

Impairment Test: What is, Examples, GAAP, IFRS

Impairment refers to the loss of value of a fixed asset. In accounting, impairment loss quantifies this loss. Several factors may contribute to a fixed asset losing its value. These factors may be external or internal. Usually, companies conduct an impairment test to determine if a fixed asset has suffered …

How Business Valuation Affects Financial Reporting

When a business is sold, the value of that business is determined in part by its assets and liabilities, but also by its earnings. This is what is known as the business valuation. The business valuation determines how much money the business owner will receive for their stake in the …

Consumer Products: Definition, Types, Examples, Categories

Every day, people use all sorts of consumer products. Some of these are essential for daily life, while others are simply used for convenience or entertainment. It might seem like a small thing but it’s the key to success in marketing a product – understanding what motivates consumers to purchase …

Petty Cash: Definition, Meaning, Accounting, Journal Entry, Example

Most companies prefer conducting their cash transactions through banks. However, they also need small sums of money in cash form to pay for insignificant transactions. Companies manage this cash through the petty cash system. This system is prevalent in most companies and businesses. The accounting for the petty cash system …

Factors of Production: Definition, Examples, Types, Meaning in Economics

To produce anything, be it a tangible good or an intangible service, one must use some combination of four factors: land, labor, capital, and entrepreneurship. These are the essential inputs in the production process, and together they determine a society’s standard of living. While there is some debate over how …