Shared Flashcard Set

Details

Economics and the Markets
S7M4
6
Finance
Professional
10/04/2012

Additional Finance Flashcards

 


 

Cards

Term
Interest Coverage Ratio
Definition
(total revenues - expenses) ÷ yearly interest
Term
Debt Service Coverage Ratio
Definition
(total revenues - expenses) ÷ yearly interest and principal payment
Term
Dow Theory
Definition
Market trends often precede the trends in prosperity and depression in general business
Term
Odd-Lot Theory
Definition
When the odd-lot purchases (small individual investors who purchase at high-pts of stock movement; aka bad investors) exceed odd-lot sales, market will DROP
Term
Advance-Decline Theory
Definition
Ratio and chart based on # of advancing stocks vs. # of declining stocks

If advance-decline index rises faster than other index, RISE in the market will occur
Term
Short Interest Ratio
Definition
If # stocks being sold short is high, outlook is for a STRONG market (short sales have to be covered at some point)
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