What Is a Digital Wallet? A digital wallet (or electronic wallet) is a financial transaction application that runs on mobile devices. It securely stores your payment information and passwords. These applications allow you to pay when you’re shopping using your device so that you don’t need to carry your cards around. You enter and store
What Is Diluted EPS? Diluted EPS is a measurement used to gauge the quality of a company’s earnings per share (EPS) if all convertible securities were exercised. The diluted EPS is commonly lower than the simple or basic EPS. Convertible securities are outstanding convertible preferred shares, convertible debentures, stock options, and warrants. Key Takeaways Diluted
What Are Diluted Founders? “Diluted founders” is a term used by venture capitalists (VCs) to describe the process of a startup’s founders gradually losing ownership of the company they created. Startup founders who rely on venture capital to grow their business must surrender more and more ownership of the company in return for the capital received. In
What Is Diluted Normalized Earnings Per Share? Diluted normalized earnings per share shows a company’s profit per share after stripping out one-off income or expenses and assuming all stock that could potentially be issued has been. The metric is calculated by taking profit (less one-time earnings) and dividing by the sum of outstanding common shares
What Is Depreciated Cost? Depreciated cost is the value of a fixed asset minus all of the accumulated depreciation that has been recorded against it. In a broader economic sense, the depreciated cost is the aggregate amount of capital that is “used up” in a given period, such as a fiscal year. The depreciated cost can
What Is Depreciation? The term depreciation refers to an accounting method used to allocate the cost of a tangible or physical asset over its useful life. Depreciation represents how much of an asset’s value has been used. It allows companies to earn revenue from the assets they own by paying for them over a certain
What Is Depreciation, Depletion, and Amortization (DD&A)? Depreciation, depletion, and amortization (DD&A) is an accounting technique that enables companies to gradually expense various different resources of economic value over time in order to match costs to revenues. Depreciation spreads out the cost of a tangible asset over its useful life, depletion allocates the cost of
What Is Depreciation Recapture? Depreciation recapture is the gain realized by the sale of depreciable capital property that must be reported as ordinary income for tax purposes. Depreciation recapture is assessed when the sale price of an asset exceeds the tax basis or adjusted cost basis. The difference between these figures is thus “recaptured” by
What Is Depressed? Depressed refers to a state or condition of a market, product, currency, or security characterized by slumping prices, low volume, and lack of buyers. It usually represents a prolonged period of low prices and activity. The term may also be used in the context of the broader economy, in which case it generally
What Is a Depression? A depression is a severe and prolonged downturn in economic activity. In economics, a depression is commonly defined as an extreme recession that lasts three or more years or which leads to a decline in real gross domestic product (GDP) of at least 10%. in a given year. Depressions are relatively
