Credit Union Definition

Below please find a definition of “Credit Union”

Financial Analysis Training & Glossary TermsCredit Union: Credit unions are non-profit cooperative financial organizations that are controlled by its members and provide various kinds of loans and other financial services to its members. A government employees’ credit union is a common example of one such credit union.

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Credit Risk Definition

Below please find a definition of “Credit Risk”

Financial Analysis Training & Glossary TermsCredit Risk: The possibility of an investor’s risk of losing money, should a borrower not make payments as agreed upon in a contract, is termed as credit risk. Another term that is commonly used for credit risk is default risk since such an event is termed as a default.

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Cost Recovery Definition

Below please find a definition of “Cost Recovery”

Financial Analysis Training & Glossary TermsCost Recovery: Cost recovery is a method of recognizing revenue under which gross profit is recognized only after the sum total of all the cost of merchandise has been recovered. Once the initial payments from customers have been received, these payments are treated as recovery costs of the products sold.

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Cost Principle Definition

Below please find a definition of “Cost Principle”

Financial Analysis Training & Glossary TermsCost Principle: The principle that makes it obligatory on a company to record its fixed assets at their historical cost is termed as the cost principle. By historical cost, it implies that the fixed assets cannot be recorded at their current market value.

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Cost Analysis Definition

Below please find a definition of “Cost Analysis”

Financial Analysis Training & Glossary TermsCost Analysis: Any project requires a break down of costs that are involved in the day-to-day operations of a business. The process of analyzing cost data for the purposes of comparison and projection is termed as cost analysis.

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Cost-Benefit Analysis Definition

Below please find a definition of “Cost-Benefit Analysis”

Financial Analysis Training & Glossary TermsCost-Benefit Analysis: It is common practice amongst top managers to evaluate the potential costs, benefits and other associated aspects before undertaking on a new venture or project. The outcome of the analysis determines the feasibility of a project, if it is worth pursuing it or not. The entire process undertaken is termed as cost-benefit analysis.

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Consolidated Financial Payment Definition

Below please find a definition of “Consolidated Financial Payment”

Financial Analysis Training & Glossary TermsConsolidated Financial Payment: A financial statement that represents a company’s and its subsidiaries’ financial information is termed as a consolidated financial payment. It is termed as consolidated because the reports of the assets and liabilities are presented as a single entity.

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Co-financing Definition

Below please find a definition of “Co-financing”

Financial Analysis Training & Glossary TermsCo-financing: When two or more lending institutions come to an agreement to finance a single project, the act is termed as co-financing. These lending institutions agree on funding the project under the same security packages.

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Chart of Accounts Definition

Below please find a definition of “Chart of Accounts”

Financial Analysis Training & Glossary TermsChart of Accounts: Very simply put, a company’s ledger comprises of a list of all account names and numbers and that list is termed as a chart of accounts. A chart of accounts is primarily used for organizing the finances of a business and the lists are either alphabetic or numerical or alpha-numeric.

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Cash Management Definition

Below please find a definition of “Cash Management”

Financial Analysis Training & Glossary TermsCash Management: Cash management is instrumental in determining a company’s stability and efficiency. The method a company follows in investing, collecting and managing cash is termed as cash management and it is a key factor for measuring a company’s profitability.

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