Harmonic mean formula: For n positive numbers \(x_1,…,x_n\), the harmonic mean is HM = n ÷ (1/x1 + 1/x2 + … + 1/xn). Use HM to average rates (speed, P/E ratios) where denominators matter. In statistics, data science or just…
The Laspeyres Price Index is a measure of inflation that compares the cost of a basket of goods and services in a base year to the cost of the same basket in a subsequent year. It is calculated by taking…
What is Paasche Price Index? Paasche Price Index is a price index that is used to measure the price level and cost of living in an economy and to calculate inflation. It was invented by a German Economist, Hermann Paasche.…
What is Annual Return Formula? The annual return formula is the capital gain on an investment generated over 1 year and it is calculated as a percentage of the initial amount of investment. If the return is positive, it is…
What is Autonomous Consumption? Autonomous consumption is the consumption expenditure that occurs when the income levels are zero [1]. This expenditure consists of goods and services which must be purchased even when the individual is broke or has little or…
Promissory estoppel is a legal principle that prevents a person from going back on a promise they made if another person has relied on that promise and acted in a way that would be detrimental to them to change that…
Author: Sarthak Table of Contents What is an Appropriation Account? How does the Appropriation account work? Examples What is an Appropriation Account? In simple words, appropriation is a process of setting aside funds, usually, the profits generated by the company…
The Fisher Price Index formula is a method of measuring inflation that takes into account both the change in the price level of a basket of goods and services, as well as the relative change in the quantities of those…
Short SellWhat is Short Selling? Let’s first understand the basic concept of what is short selling and the pros and cons.In short, selling the sequence of transacting a stock or securities is exactly the opposite. Short selling is a way…
Interim dividend meaning is simply dividend payments which company pays either quarterly or semi-annually before the annual general meeting of the company or the annual results. Interim Dividend Meaning Summary Colgate announced that they would be thinking about giving interim…
You must have heard in the news that recently BPCL announced an Rs58/ dividend per share on September 2021. So, whenever you invest in the shares of a company you become the owner of the company. A dividend is given…
Several companies use different Types of financial analysis both internally and externally. These analyses are a great way for any business to evaluate its financial stability, and for investors to evaluate whether or not your company is a worthy investment.…
