A target return price

It is price that would earn for the organization a quantum of profit ascertained before hand from the sale of specific commodities.

A1

A first class vessel in Lloyds’ register of shipping; generally, an appellation for excellence

Abandonment

A jargon in marine insurance refers to a ship abandoned as unsafe and unseaworthy.

Abandonment cost

Is the cost of closing down of an activity or function, shutting down a plant, withdrawing a product, closing down a department and so on.

Abatement

Mainly used in law; termination of a law suit: remission or reduction of a tax or levy.

Abatement cost

Any cost incurred towards containing a cause of annoyance, which is not standard, budgeted or normal.

ABC analysis

A system of arrangement in which items are ordered on some priority: value, rank, criticality etc.

ABC classification

Means ordering the inventory items according to their annual usage value. The highest usage item is called: “A”, medium usage – “B” and low usage – “C”.

ABC data bank

Applies to collected data on the readership of newspapers, ABC stands for audit bureau of circulation.

Abnormal cost

A cost of a unit or action, caused by exceptional circumstance, which is not standard, budgeted or normal.

Abnormal process loss

Loss incurred in a process caused by a factor which is not natural or necessary in the technology or operation of the process.

Above par

Share or security quoted at a price above the face value.

Above the line

A cost, expense or income that is adjustable through profit and loss account before computation of profit.

Abrogation of agreement

A law term; cancellation of a contract or certain clauses of it.

Absentee management

A business or property run by the owner himself remaining away from the spot or premises.

Absenteeism

A situation or measure relating to habitual or average absence of the work force from the work place.

Absolute cost

Similar to shut down cost; a cost that goes on in a plant or function even when there is no production or activity.

Absolute cost advantage

A term of Ricardo’s theory of comparative cost in international trade. It holds that a particular nation enjoys absolute advantage over other nations in the production of a particular article due to natural and geographical factors.

Absolute monopoly

If a seller has extensive control over the sale of a particular article in the market he is said to enjoy absolute monopoly. Such a monopoly lacks legal sanction and cannot last under the rules of competitive economics.

Absolute sale

A semi legal term; a sale where no condition is imposed either by the seller or by the buyer.

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