What Is Additional Paid-in Capital (APIC)? Additional paid-in capital (APIC) is an accounting term referring to money an investor pays above and beyond the par value price of a stock. Often referred to as “contributed capital in excess of par,” APIC occurs when an investor buys newly-issued shares directly from a company during its initial
What Is Additional Personal Allowance? The term additional personal allowance refers to an extra tax deduction set forth by HM Revenue and Customs (HMRC) on income tax returns in the United Kingdom. This deduction applied to single, separated, or widowed individuals who were not eligible to receive the married couple allowance and who financially supported
What Is the Addition Rule for Probabilities? The addition rule for probabilities describes two formulas, one for the probability for either of two mutually exclusive events happening and the other for the probability of two non-mutually exclusive events happening. The first formula is just the sum of the probabilities of the two events. The second
What Is Add-On Interest? Add-on interest is a method of calculating the interest to be paid on a loan by combining the total principal amount borrowed and the total interest due into a single figure, then multiplying that figure by the number of years to repayment. The total is then divided by the number of
What Is an Add-On Factor? The add-on factor is the percentage of a building’s gross usable space that is added to each tenant’s rented space to determine their total rent. Key Takeaways The add-on factor is the percentage of a building’s gross usable space that is added to each tenant’s rented space to determine their
What Is the Address Verification Service (AVS)? The Address Verification Service (AVS) is a tool provided by credit card processors and issuing banks to merchants in order to detect suspicious credit card transactions and prevent credit card fraud. The AVS checks the billing address submitted by the card user with the cardholder’s billing address on
What Is Adequate Disclosure? Adequate disclosure is an accounting concept confirming that all essential information is included in financial statements for an investor or creditor to rely on when analyzing a company. Adequate disclosure refers to the ability for financial statements, footnotes, and supplemental schedules to provide a comprehensive and clear description of a company’s
What Is an Adhesion Contract? An adhesion contract is an agreement where one party has substantially more power than the other in setting the terms of the contract. For a contract of adhesion to exist, the offeror must supply a customer with standard terms and conditions that are identical to those offered to other customers. Those terms
What Is Adhocracy? Adhocracy is a form of business management that emphasizes individual initiative and self-organization in order to accomplish tasks. This is in contrast to bureaucracy which relies on a set of defined rules and set hierarchy in accomplishing organizational goals. The term was popularized by Alvin Toffler in the 1970s. Key Takeaways Adhocracy
What Is an Adjudication? An adjudication is a legal ruling or judgment, usually final, but can also refer to the process of settling a legal case or claim through the court or justice system, such as a decree in the bankruptcy process between the defendant and the creditors. Normally, an adjudication represents the final judgment
