What is an Ethical Dilemma? An ethical dilemma, ethical paradox, or a moral dilemma is a problem that requires a decision between two possible options. The problem is that neither option is absolutely acceptable from an ethical perspective. You may face many ethical and moral problems in your daily lives. […]
Business
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What is the Working Capital Formula? The working capital formula is: Working capital = Current Assets – Current Liabilities The working capital formula tells you the short-term liquid assets available after short-term liabilities have been paid off. It measures a company’s short-term liquidity. It is important for financial analysis, financial […]
What is an Original Equipment Manufacturer (OEM)? An Original Equipment Manufacturer or OEM is a company (Company A), that manufactures and sells products or parts of a product. That product is purchased by another company (Company B) and used as a component in its product offering. Company B sells the […]
What Is Straight Line Depreciation? Straight line depreciation is a method of calculating depreciation and amortization. Also known as straight line basis, it is the simplest way to work out the loss of value of an asset over time. Straight line basis is calculated by dividing the difference between an asset’s cost and […]
What Is a PurePlay? A pureplay is a company or business model that focuses all of its efforts on a single business, product, or industry. For example, a company that specializes in manufacturing electric cars and doesn’t make another type of product could be considered a pure play. A pure […]
VWAP – Volume Weighted Average Price Definition Volume-Weighted Average Price (VWAP) is exactly that – the average price weighted by volume. VWAP equals the dollar value of all trading periods divided by the total trading volume for the current day. The calculation starts when trading opens and ends when it […]