What is Compound Probability? Compound probability is a mathematical term relating to the likeliness of two independent events occurring. Compound probability is equal to the probability of the first event multiplied by the probability of the second event. Compound probabilities are used by insurance underwriters to assess risks and assign premiums to various insurance products.
What is the Compound Return? The compound return is the rate of return, usually expressed as a percentage, that represents the cumulative effect that a series of gains or losses has on an original amount of capital over a period of time. Compound returns are usually expressed in annual terms, meaning that the percentage number
What Is a Comprehensive Glass Policy? A comprehensive glass policy is an insurance policy that covers different kinds of glass (or similar) products that can be broken or damaged. A comprehensive glass policy covers a broader range of manufactured glass products than a standard glass policy, which typically only covers plate glass. It also provides coverage
What Is Personal Liability Insurance? Personal liability insurance, also known as “comprehensive personal liability (CPL) insurance,” is a component of a homeowners insurance or an umbrella insurance policy that protects you and members of the your household against claims resulting from injuries and damage to other people or their property. It prevents you from having
What Are Comps? The term comps, short for comparables, carries different meanings depending on the industry and context, but generally entails a comparison of financial metrics and other factors to quantify performance or determine valuation. In retail, it refers to a company’s same-store sales compared to the previous year or a similar store. Similarly, in
What Is a Comptroller? A comptroller, in the United States, is a high-level executive that oversees the accounting tasks and financial reporting procedures of organizations. The comptroller oversees all accounting including accounts receivable, payroll, and loan transactions. The comptroller also supervises the chart of accounts and the general ledger, which form the basis for the
What Is the Comptroller General? The Comptroller General of the United States is a high-ranking accounting position that sets and oversees accounting policy. The Comptroller General is appointed for a term of 15 years by the President of the United States. The U.S. Comptroller General serves as the head of the Government Accountability Office (GAO). Key Takeaways The
What Is a Compulsory Convertible Debenture (CCD)? A compulsory convertible debenture (CCD) is a type of bond which must be converted into stock by a specified date. It is classified as a hybrid security, as it is neither purely a bond nor purely a stock. A debenture is a medium- to long-term debt security issued
What Is Compulsory Insurance? Compulsory insurance is any type of insurance an individual or business is legally required to buy. Compulsory insurance is mandatory for individuals and businesses that want to engage in certain financially risky activities, such as operating an automobile or operating a business with employees. Compulsory insurance is supposed to protect accident
What Is Compustat? Compustat is a comprehensive database of fundamental financial and market information on both active and inactive global companies, indices, and industries. The type of information published by Compustat includes Global Industry Classification Standards (GICS), pricing data, earnings data, insider and institutional holdings, and other information directed at investors, analysts, economists, academics, and
