List of business and finance abbreviations

This is a list of abbreviations used in a business of financial context.

0-9

  • 1H1st Half
  • 24/7 - 24 hours a day, seven days a week
  • 80/20 for many events, roughly 80% of the effects come from 20% of the causes

A

B

C

D

E

F

  • FAB - Feature Advantage Benefits
  • FDP – Finance Department
  • FOB – Freight On Board
  • FIFOFirst In, First Out
  • FinMin - Finance Minister
  • Fin Min - Finance Minister
  • FL – Financial leverage
  • FOMC - Federal Open Market Committee
  • FP&AFinancial Planning & Analysis
  • FPOFollow on public offer
  • FIX – Financial Information Exchange
  • FSA - Financial Services Authority
  • FTE- Full Time Equivalent
  • FVFuture Value
  • FXForeign exchange market
  • FY - Fiscal year or Financial year
  • FYA- For Your Action
  • FYI- For Your Information
  • FOC- Free Of Cost
  • F/U- Follow-Up

G

  • GAAP – Generally Accepted Accounting Principles
  • GAASGenerally Accepted Audit Standards
  • GDP – Gross Domestic Product
  • GDPRGeneral Data Protection Regulation
  • GDRGlobal depository receipt
  • GFCFGross fixed capital formation
  • GL – General Ledger
  • GMV – Gross Merchandise Volume
  • GP – Gross Profit
  • GPOGroup purchasing organization
  • GRNGoods Receipt Note
  • GRNI - Goods Receipt Not Invoiced
  • GSVGross Sales Value
  • GVC – Global Value Chain
  • GMROII- Gross Margin Return on Inventory Investment
  • G&AGeneral and Administration expense. expenditures related to the day-to-day operations of a business.

H

  • HMRC - Her Majesty's Revenue and Customs
  • HP - Hire purchase
  • HQ – Headquarters
  • HR – Human Resources
  • HRD – Human Resource Development
  • HS Code - Harmonized Commodity Description and Coding System

I

J

  • J – Journal
  • JIT - Just in time
  • JIS - Just in sequence
  • JST - Joint Supervisory Team

K

  • K – Is used as an abbreviation for 1,000. For example, $225K would be understood to mean $225,000, and $3.6K would be understood to mean $3,600. Multiple K's are not commonly used to represent larger numbers. In other words, it would look odd to use $1.2KK to represent $1,200,000.
  • Ke – Is used as an abbreviation for Cost of Equity (COE). Ke is the risk-adjusted, theoretical rate of return on a Company's invested excess capital obtained through external investments. Among other things, the value of Ke and the Cost of Debt (COD)[6] enables management to arbitrate different forms of short and long term financing for various types of expenditures. Ke applies most prominently to companies that regularly generate excess capital (free cash flow, cash on hand) from ongoing operations. Critically, in assessing a company's financial position (and reading its balance sheet), COE is distinguished from CAPEX, or costs associated with Capital Expenditures.[7][8] Ke is most often used in the Capital Asset Pricing Model (CAPM), in which Ke = Rf + ß(Rm-Rf). In this equation, Ke (COE) equals the anticipated return from the difference (Beta) of investment yields from a return based on market expectations (Rm)[9] and a Risk Free Rate (Rf), such as Treasury Bills or Bonds.
  • KIBOR - Karachi Interbank Offered Rate
  • KPI – Key Performance Indicator, a type of performance measurement. An organization may use KPIs to evaluate its success, or to evaluate the success of a particular activity in which it is engaged.
  • KYC – "Know Your Customer" refers to due diligence activities that financial institutions and other regulated companies must perform to ascertain relevant information.

L

M

N


O

  • OC – Opportunity Cost
  • OCFOperating cash flow
  • OECD - Organisation for Economic Co-operation and Development
  • OEM - Original Equipment Manufacturer
  • OIBDA - Operating Income Before Depreciation And Amortization
  • OKR - Objectives and key results
  • OOF - Out of Facility, used interchangeably with Out of Office and originating from the Microsoft Xenix mail system [11]
  • OOO - Out of Office
  • OPEXOperating Expenditure or Operational Expenditure
  • OTIF - On Time In Full
  • OTCOver-the-counter (finance)

P

  • P&L – Profit and Loss
  • P2B - Platform to Business [12]
  • PA - Purchasing agent or Personal Assistant
  • PA - Promotional Activity
  • PAT – Profit After Tax
  • PBT – Profit Before Tax
  • P/E – Price-to-earnings ratio
  • PE – Private Equity
  • PEGPrice-to-earnings growth ratio
  • PHEK Planherstellungskosten (Product Planning cost)
  • PFI - Private Finance Initiative
  • PI or PII - Professional Indemnity (insurance coverage)
  • pip - Percentage in point
  • PMAC – Period Moving Average Cost
  • POProfit Objective or Purchase Order
  • POAPlan Of Action
  • POSPoint of sale
  • PP&E – Property, plant, and equipment
  • PPP - Public-private partnership
  • PPPPurchasing power parity
  • PPT - Powerpoint presentation
  • PR Purchase Requisition
  • PTD - Project to Date
  • PWIN - Percent win (a measure of performance of capture when bidding for contracts with a targeted customer base such as bidding for government contracts) [13][14]

Q

R

S

T

  • TBTransaction Banking
  • TBC - To Be Completed
  • TBDTo Be Defined
  • TCO – Total Cost of Ownership
  • TCVTotal Contract Value
  • TOTW- Time Off for Time Worked
  • TQM- Total Quality Management
  • TSR – Total Shareholder Return
  • TTM- Trailing Twelve Months
  • TVM - Time Value of Money
  • Ts & Cs - Terms and Conditions

U

  • USP – Unique Selling Proposition
  • UPI - Unified Payment Interface

V

  • VAD – Value-Added Distributor
  • VaR – Value at Risk
  • VAR – Value-Added Reseller
  • VATValue-Added Tax
  • VC – Venture Capital
  • VP – Vice President

W

  • WACCWeighted average cost of capital
  • WCWorking capital
  • WFH – Work From Home
  • wkweek
  • wrk – work
  • wo – work order
  • WOGs – With other Goods
  • WIGsWildly Important Goals
  • wasp - weighted average selling price
  • WLL - With Limited Liability
  • w.r.t - With Respect To
  • WTI West Texas Intermediate
  • WVN - Withdraw Voucher Note
  • WHT - Withholding Tax
  • WTO -World Trade Organization
  • WTD -Week-To-Date
  • WW - World Wide

X

Y

Z

  • ZBB - Zero Based Budgeting
  • zcycZero Coupon Yield Curve
  • ZOPA – Zone of Possible Agreement

References

  1. Kenton, Will. "Capital Asset Pricing Model (CAPM)". Investopedia. Retrieved 2019-05-21.
  2. Zigu. "Cost of Credit Definition | Finance Dictionary". MBA Skool-Study.Learn.Share. Retrieved 2019-05-21.
  3. Kenton, Will. "Cost of Capital: What You Need to Know". Investopedia. Retrieved 2019-05-21.
  4. Zigu. "Cost of Debt Definition | Finance Dictionary". MBA Skool-Study.Learn.Share. Retrieved 2019-05-21.
  5. Kenton, Will. "Cost Of Equity". Investopedia. Retrieved 2019-05-21.
  6. Ross, Sean. "What is the difference between cost of equity and cost of capital?". Investopedia. Retrieved 2019-05-21.
  7. Kenton, Will. "Cash Flow From Investing Activities". Investopedia. Retrieved 2019-05-21.
  8. "Cash Flow to Capital Expenditures Definition & Example | InvestingAnswers". investinganswers.com. Retrieved 2019-05-21.
  9. Chen, James. "How's That Stock Going to Do? Expected Return May Tell You". Investopedia. Retrieved 2019-05-21.
  10. Wolfson, A., 18 obnoxious things that everyone in the office should stop saying, Moneyish.com / Dow Jones & Company, 23 June 2017
  11. https://blogs.technet.microsoft.com/csps/2011/06/15/display-my-out-of-office-information-to-contacts-in-my-friends-and-family-workgroup-and-colleagues-privacy-relationships/
  12. European Commission, Online platforms: new rules to increase transparency and fairness, published 14 February 2019, accessed 29 April 2019
  13. Chan, M., You’re calculating PWIN all wrong. Here’s how to do it right, published 1 June 2017, accessed 19 December 2018
  14. Bit Solutions LLC., How Government Contractors Can Improve Their PWin…(Percent Win), published 16 November 2018, accessed 19 December 2018
  15. What is the STP (Situation Target Path) Method or Model for Strategic Planning?, accessed 30 December 2018
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