EBITDA is the acronym for earnings before interest, taxes, depreciation, and amortization. As its name implies, it is income before interest expenses, tax payments, and costs for depreciation, and ...

In accounting and business, the breakeven point (BEP) is the production level at which total revenues equal total expenses.

Julia Kagan is a financial/consumer journalist and former senior editor, personal finance, of Investopedia. Marguerita is a Certified Financial Planner (CFP), Chartered Retirement Planning Counselor ...

Perpetual bonds have no maturity date, allowing them to pay interest indefinitely, making them appealing for long-term income. They come in different types, such as government and corporate bonds, ...

Beta is the 2nd letter in the Greek alphabet, and the financial world uses it to refer to the sensitivity of an asset’s price compared to a specific index or benchmark. Beta is also used as a measure ...

Cost basis affects capital gains taxes on investments. Cost basis varies by investment type and whether you purchased the asset or received it as a gift or inheritance. Optimizing cost basis can ...

Net operating income (NOI) is a calculation commonly used for real estate investments that takes the revenues and subtracts operating expenses to determine the cash flow of the investment. Net ...

Use a weighted average to evaluate stock performance if purchased in multiple transactions. Calculate weighted average by multiplying share price by quantity, then divide by total shares. Knowing your ...

A utility function measures a consumer’s preference and satisfaction with different goods or services. As part of rational choice theory, it helps economists analyze how consumers make decisions to ...

Digital lending has transformed how individuals access credit. Today, borrowers no longer need to visit the physical branches ...