What Is an Operating Lease? An operating lease is a contract that allows for an asset’s use but does not convey ownership rights of the asset. These leases allow businesses to use the asset without incurring the high expenses involved in purchasing it. The business that leases the asset is called the lessee, and the
What Is an Operating Loss (OL)? An operating loss occurs when a company’s operating expenses exceed gross profits (or revenues in the case of a service-oriented company). A company’s operating profit is its profit before interest and taxes. Interest and taxes are not considered operating expenses in the way that cost of goods sold, selling
What Is One Belt One Road (OBOR)? One Belt One Road (OBOR), the brainchild of Chinese President Xi Jinping, is an ambitious economic development and commercial project that focuses on improving connectivity and cooperation among multiple countries spread across the continents of Asia, Africa, and Europe. Dubbed as the “Project of the Century” by the Chinese
What Was China’s One-Child Policy? The one-child policy was a rule implemented by the Chinese government mandating that the vast majority of couples in the country could only have one child. This was intended to alleviate the social, economic, and environmental problems associated with the country’s rapidly growing population. The rule was introduced in 1979 and phased out
What Is OneCoin? OneCoin was a cryptocurrency-based Ponzi scheme. The companies behind the scheme were OneCoin Ltd. and OneLife Network Ltd., founded by Bulgarian national Ruja Ignatova, who disappeared in 2017. However, not before the scheme raised $4 billion. OneCoin was a Ponzi scheme that pulled in $4 billion from 2014 to 2016.OneCoin was not
What Is the One Percent Rule? The one percent rule, sometimes stylized as the “1% rule,” is used to determine if the monthly rent earned from a piece of investment property will exceed that property’s monthly mortgage payment. The goal of the rule is to ensure that the rent will be greater than or—at worst—equal
What Is a One-Sided Market? A one-sided, or one-way market is a market that occurs when market makers only quote one of either the bid or the ask price. One-way markets arise when the market is moving strongly in a certain direction. By contrast, a two-sided market is one where both the bid and ask are quoted. Key
A one-tailed test is a statistical test in which the critical area of a distribution is one-sided so that it is either greater than or less than a certain value, but not both. If the sample being tested falls into the one-sided critical area, the alternative hypothesis will be accepted instead of the null hypothesis. Financial
What Is a One-Time Charge? A one-time charge, in corporate accounting, is a charge against a company’s earnings that the company’s managers expect to be an isolated event and is unlikely to occur again. A one-time charge can either be a cash charge against earnings such as the cost of paying severance expenses to laid-off former employees
What Is a One-Time Item? A one-time item is a gain, loss, or expense on the income statement that is nonrecurring in nature and therefore not considered part of a company’s ongoing business operations. To get an accurate gauge of a company’s operating performance, one-time items are usually excluded by analysts and investors while evaluating
