How Is Earnings Per Share Calculated? A company’s EPS is calculated using the following formula: For example, say you have two companies, Company A and B. Each had gross revenues of $500 million last year. If A had a net income of $100 million, and B had a net income of $50 million, your gut reaction might be to say that A is a better buy than B. Here is where EPS comes into play....
As of Tuesday, the average price for a gallon of unleaded gas had dipped only about 1 cent since reaching a record high of $4.33 Friday—72 cents higher than it was just a week a half earlier. Meanwhile, the market price of the crude oil it’s made from dropped about 13% over the same period. As the chart below shows, the decline in crude has barely made gasoline budge. The reluctance of pump prices to recede tracks with what economists have coined the “rockets and feathers” phenomenon: When gas follows oil upwards, it rises like a rocket (after a bit of a lag) but in a downturn, it falls like a feather....
The following are several ways you can improve your odds of getting your own credit card and building your credit history. However, you won’t have a credit score until you have at least one active account on your credit report for six months. Some credit card issuers realize that people have trouble getting a credit card for the first time, and they’ve made credit cards specifically for people with no credit....
On the other hand, it is generally a good idea to have your own representation during the homebuying process. Also, given Hawaii’s distance from the rest of the country, you may have to rely on your agent a lot more than you would when purchasing a house on the mainland. For example, you might have the agent do the final walkthrough of the home before closing if you’re living on the mainland while buying a home in Hawaii....
The most popular stock exchange for Chinese stocks is the Shanghai Stock Exchange, which has a market capitalization of about $7 trillion, as of June 2021, making it the third-largest in the world. The stock exchange first opened in 1866 but experienced its greatest growth after 2005. While it’s not entirely open to foreign investors yet, the stock exchange remains an extremely important gauge of the country’s economic health with 1,912 listed public companies, as of June 2021....
FG Trade / Getty Images April rents on new leases in the U.S. jumped by an average of 1.3% month-over-month, marking the largest single month increase in about a decade, according to RealPage, which collects nationwide data from millions of apartment units using its own property management, revenue management, and analytics platforms. And that growth is likely to gather pace as the prime leasing season begins. Most household moves occur from April through September....
North, South, or In Between? Investing in Africa varies quite a bit by region. Northern Africa is much the same as much of the Middle East in terms of its oil assets and major industries. South Africa is thought to be a more developed market with its strong mining industry. Sub-Saharan Africa is still not very open to international investors. It includes lesser developed economies. South Africa is the most popular place to invest in this part of the world....
Why your Business Name is So Important Your business name will be on everything: Business cards, stationery, and office forms All advertising and marketing materials Your business formation documents, such as Articles of Organization for an LLC or Articles of Incorporation for a corporation . All business loan documents Possibly the domain name for your business website All contracts and agreements A business name is registered with the locality and state where the business is organized....
Logging your dietary habits helps you develop an accurate idea of how many calories you consume every day. Similarly, tracking your spending habits helps you discover how much money you’re spending—which might be wildly different from the amount you think you’re spending. Tracking Your Spending Many beginners track transactions for up to a month before they create a budget. This is a good starting point if you’ve never tracked your spending before....
Here’s information on all the steps in the hiring process, including applying for jobs, interviewing, employment testing, background checks, and job offers, along with tips and advice for each. Job Applications The first step in the hiring process is, of course, to apply for jobs and to get your application into contention for the jobs you are interested in. Depending on the organization and the job, you may apply online, email a resume and cover letter, or apply in-person....
Why Negotiate a Workout Sometimes negotiating with your lender is the best option for everybody. From your perspective, it gives you a solution to your problem of not having enough money to repay your loan. If you don’t pay, the consequences are real: your credit scores may fall, and you will face additional fees and potential legal troubles. Your next best alternative might be bankruptcy, which is an expensive and difficult process (plus it will affect your credit for at least seven years, and you might still owe money in the case of any deficiency)....
In addition to providing protection against personal liability, LLCs are not automatically subject to separate corporate taxation, unlike C-corporations (C-corps). This makes an LLC an attractive option for many small business owners. “There are benefits and drawbacks to each type of business and tax structure,” said April Walker, lead manager for tax practice & ethics with the American Institute of CPAs, in an email interview with The Balance. “There is no single choice that is always better for a business owner—the owner’s current needs and future plans should be evaluated by working with a professional....
You don’t have to calculate it to make good use of duration when you’re investing in bonds. You just need to know how it works. What Is Present Value? Bond duration begins with the present value. This is what an investment is worth at a given moment in time. Present value contrasts with the value that the asset may have at some future time after it’s earned compound interest. It takes into account the fact that investors discount the future value of an investment....
If you are a stereotypically risky driver—someone with lots of speeding tickets, reckless driving habits, and maybe DUIs on-record—it’s probably no surprise that insurance companies are not leaping at the opportunity to insure you and accept you into their risk pool. But there are other, less obvious things that could make you a higher risk in the eyes of insurers: Being too old or too youngBeing singleHaving poor creditDriving a sports carLiving in a high-density city...
Below, we’ll dive deeper into federal funds and the Fed’s actions to adjust the fed funds rate, which indirectly controls many other interest rates and can impact you. How the Fed Convinces Banks to Change Their Rates The Fed used to require banks to hold a certain percentage of their deposits in reserves at one of the 12 regional reserve banks each night. If they didn’t have enough reserves, they could borrow what they needed....
They are developed through recording the transactions in the accounting journal and the general ledger. Four important financial statements come together from those records and paint a picture of the financial health of a small business: the income statement, the retained earnings statement, the balance sheet, and the cash flow statement. Here’s how they work together to help your business. The Accounting Equation Financial statements are based on the accounting equation, which is stated as: Assets = Liabilities + Owner’s equity For example, if you as a business owner begin your company with $100,000 of your own money, then spend $15,000 on office computers, furniture, and other supplies, the equation would look like this: $100,000 = $15,000 + $85,000 The purchase of supplies shifts the purchase price to the liability category while the unspent money remains part of the owner’s equity....
FIRREA allows the Department of Justice (DOJ) to sue for civil penalties in cases of fraud within federally insured banks. There are 14 criminal statutes, making it a broad tool that captures almost any kind of fraud. Examples include bank fraud, false statements, mail fraud, and wire fraud. The DOJ can ask for penalties that equal the total gain or loss resulting from the fraud. FIRREA and the Savings and Loan Crisis Congress passed FIRREA on August 9, 1989, to respond to the savings and loan (S&L) crisis....
A home inspection can provide key insights into the home’s construction, as well as a chance to prevent costly repairs later on. Even new houses have flaws. What Is a Home Inspection? A home inspection is a third-party evaluation of a home’s structure, systems, and other key features. The inspector will evaluate your property and give you a report on their findings. You can then go to the seller (in this case, the builder) to fix any issues before you close on the home....
In January 2022, the federal government announced that the Consumer Price Index (CPI) had increased 7% over the previous 12 months, the largest 12-month increase since June 1982. The CPI records the rate at which the prices for certain products go up. Inflation tracks the rise in the price of goods and services, which in turn shrinks the dollar’s purchasing power. When inflation rises, consumers can purchase fewer goods, input prices go up, and revenues and profits go down....
Unfortunately, this payment isn’t always enough to cover the amount of money you owe on your car loan. If you receive a lower payoff than your auto loan balance, it’s your responsibility to settle the remainder. Learn more about why payouts can be less than what you owe and what you can do if this situation happens to you. What Is a Total Loss and How Is It Determined? Your insurance company declares your car a total loss when it costs more to fix the damage than the car’s actual cash value or when repair expenses are greater than a percentage of its actual cash value (also called ACV or fair market value)....
