What Is an After-Acquired Clause? An after-acquired clause is a provision included in legal contracts ensuring that subsequent acquisitions of assets will be included in the debtor’s liability to the lender. It is sometimes also referred to as the “after-acquired property clause.” Key Takeaways An after-acquired clause is a provision in legal contracts to account
What Is After-Hours Trading? After-hours trading is securities trading that starts at 4 p.m. U.S. Eastern Time after the major U.S. stock exchanges close. The after-hours trading session can run as late as 8 p.m., though volume typically thins out much earlier in the session. Trading in the after hours is conducted through electronic communication
What are Aftermarket Parts? Aftermarket parts are replacement parts that are not made by the original equipment manufacturer. Aftermarket parts are used to replace damaged parts in automobiles and other equipment, but their use may alter the coverage of an insured item. They are similar to generic pharmaceuticals in that they are cheaper than brand
What Is Aftermarket Performance? Aftermarket performance is the variation in price level of a newly issued stock during a period after its initial public offering (IPO). No standard ending time period is considered, but aftermarket performance begins on the first day the IPO shares trade publicly. By looking at the aftermarket performance of all IPOs
What Is an Aftermarket Report? An aftermarket report refers primarily to a summary of the performance of a newly-issued stock in the period immediately following the stock’s initial public offering (IPO). These reports can vary significantly in the depth of the information they provide, and the period covered by an aftermarket report is not mandated by
What Is After-Sales Service Support? After-sales support, sometimes called after-sales service, is any service provided after a customer has purchased a product. After-sales support may be provided by a retailer, manufacturer, or a third-party customer service or training provider. Typically, examples of after-sales service include support regarding warranty service, training, or repair and upgrades. After-sales
What Is an After-Tax Contribution? An after-tax contribution is money paid into a retirement or investment account after income taxes on those earnings have already been deducted. When opening a tax-advantaged retirement account, an individual may choose to defer the income taxes owed until after retiring, if it is a traditional retirement account, or pay
What Is an After-Tax Profit Margin? An after-tax profit margin is a financial performance ratio calculated by dividing net income by net sales. A company’s after-tax profit margin is significant because it shows how well a company controls its costs. The after-tax profit margin is the same as the net profit margin. Understanding Profit Margin
What Is the After-Tax Real Rate of Return? The after-tax real rate of return is the actual financial benefit of an investment after accounting for the effects of inflation and taxes. It is a more accurate measure of an investor’s net earnings after income taxes have been paid and the rate of inflation has been
What Is After-Tax Return on Assets? After-tax return on assets (ROA) is a financial ratio used to measure after-tax income earned by a company from its assets. After-tax ROA compares after-tax income to average total assets (ATA) and is expressed as a percentage. A company that earned $100 of after-tax income on $400 of ATA
