Jack Welch
What is 'Jack Welch' The former chairman and CEO of General Electric (GE) from 1981 - 2001. Welch expanded the company and dramatically increased its market value from $14 billion to $410 billion during his tenure. Welch has a reputation as one of the top CEOs of all time, as evidenced by Fortune magazine's...
Labor Productivity
What is 'Labor Productivity' Labor productivity is a measure of economic growth within a country. Labor productivity measures the amount of goods and services produced by one hour of labor; specifically, labor productivity measures the amount of real gross domestic product (GDP) produced by an hour of labor. Growth in labor productivity depends on three main factors:...
MACD – Moving Average Convergence Divergence
The MACD is a stock market indicator that plays a crucial part in the technical analysis of the market. The MACD is basically the study of price graphs in order to recognize trends and to predict the developments in the market. Showing the relationship between moving averages, this method is widely used to check for signals highlighting the ideal...
Baby Bells
DefinitionThe Regional Bell Operating Companies are the result of United States v. AT&T, the U.S. Department of Justice antitrust suit against the former American Telephone & Telegraph Company. On January 8, 1982, AT&T Corp. settled the suit and agreed to divest its local exchange service operating companies. Effective January 1, 1984, AT&T Corp.'s local operations were split into seven...
DAGMAR
What is 'DAGMAR' DAGMAR is a marketing approach used to measure the results of an advertising campaign. DAGMAR is an acronym that stands for defining advertising goals for measured advertising results. DAGMAR seeks to guide consumers through five phases of regarding the product – unaware, aware, comprehension, conviction and action – while also setting specific, measurable objectives...
GAAP – Generally Accepted Accounting Principles
The standard guidelines for financial accounting that apply in all legal bodies are termed as generally accepted accounting principles or GAAP. These principles include sign conventions and standards that all accountants are subject to follow when recording financial transactions and creating balance statements. Do all businesses follow GAAP? Many businesses which specially depend on cash transactions can often leave...
ABX index
What is 'ABX index' A financial metric used to assess the entire value of mortgages given to borrowers with subprime or poor credit ratings. When computing the total value of the ABX index, credit default swap contracts are used. The index is constructed of 20 bonds that are each constituted of a group of subprime mortgages. Financial institutions can use...
EBITDA Margin
What is 'EBITDA Margin' EBITDA margin is a measurement of a company's operating profitability as a percentage of its total revenue. It is equal to earnings before interest, tax, depreciation and amortization (EBITDA) divided by total revenue. Because EBITDA excludes interest, depreciation, amortization and taxes, EBITDA margin can provide an investor, business owner or financial professional with...
FDIC Insured Account
What is 'FDIC Insured Account' An account that meets the requirements to be covered or insured by the Federal Deposit Insurance Corporation (FDIC). An FDIC Insured Account has to be in a bank that is a participant of the FDIC program. The different accounts that can be FDIC insured are NOW, checking, savings, Certificate of Deposits (CD)...
IDR (Indonesian Rupiah)
What is 'IDR' The currency abbreviation or the currency symbol for the Indonesian Rupiah (IDR). The Rupiah is made up of 100 sen, and is often presented with the symbol (Rp). The Rupiah derives its name from its sister currency the Indian Rupee. The Riau Islands and the Indonesian half of New Guinea both had their own...