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GLOSSARY OF BUSINESS AND FINANCIAL TERMS

F

FINANCING - Obtaining money resources. 

FINANCIAL STATEMENTS - Documents that show financial situation of a business. 

FISCAL YEAR - In language of accounting, any consecutive twelve-month period. 

FIXED ASSETS - Assets, such as buildings, machinery and land held for use within the firm to support revenue making activities; assets that are unlikely to be turned into cash within one year. 

FIXED COSTS - Costs of doing business that remain unchanged, regardless of the level of sales. These could include rent, salaries and utility bills. 

FIXED EXPENSES - Those costs that don't vary from one period to the next (expenses that are not affected by the volume of business - rent for example ) 

FIXED RATE - An interest rate that remains the same for the term of the loan. 

FLOAT - The value of a cheque that has not yet cleared the account on which it was written. This means the issuer of the cheque has value for the money until the cheque clears. 

FORWARD CONTRACT - An agreement to exchange one currency for another at a specified date in the future at an agreed-upon rate. 

FRANCHISE - The privilege or right to deal in a certain line or brand of goods and services. 

FRANCHISOR - A person or company who give a franchise. 

FRANCHISEE - A person or company who agrees to run a business according to certain standards prescribed by the franchisor. 

FRONT-END LOAD - A fee for buying shares or units af a mutual fund.


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