What is a Flip-In Poison Pill? A poison pill is a defense technique used by a target company to shield itself from been acquired in a hostile takeover. There are different tactics used by companies to foil the attempt of an acquiring company to takeover a target company. A flip-in poison pill is a strategy used by target companies to shield against ...

What is a Brokered Deposit? A deposit broker is anyone in the business in charge of facilitating a third-party fund placement with an insured financial institution. The deposit broker is in charge of placing deposits with insured institutions on behalf of other people. Note that even though financial institutions and their employees, pension plan ad...

What is the Establishment Payroll Survey?  When the unemployment report comes out each month, the Bureau of Labor Statistics (BLS) also reports on the number of jobs created—which comes from the establishment payroll survey. The payroll survey is based on a survey of about 147,000 businesses and government agencies throughout the United States. It g...

What is a Hurdle Rate? A Hurdle Rate refers to the least rate of return expected on an investment or project. It is the minimum return that managers and investors expect on a project. The amount of risk present in an investment or project often informs the hurdle rate, if the project has many risks, the hurdle rate is expected to be high and if it h...

What is a PEG Payback Period? The PEG (Price to Earnings Growth) payback period refers to a key ratio that is utilized to ascertain how long it will take for an investor to double his or her money with a stock investment. The price-to-earnings-growth payback period is the period it would take for the earnings of a company to equate the stock price w...

What is an Employee Profit Sharing Plan? Employee profit sharing plan (EPSP) or a profit share plan is when a company allocates a share of profits to its employees. An EPSP is generally based upon performance, such as annual profitability. ESPS are thought to improve employee efficiency by providing them with a sense of ownership in the company. Mos...

What is a Shareholder-Centric Perspective? Corporations that consider the interests of shareholders as paramount while making governance decisions are said to have Shareholder-Centric Perspective. This perspective has a significant impact on the growth, direction, and strategic planning of a business. How to Use a Shareholder-Centric Perspective Whe...

What is the McFadden Act? The McFadden Act is Federal legislation in the United States that allows different states to regulate and govern bank branches located within the state. This federal law, when modified, also permitted national banks to have intrastate branches the same way state-chartered banks were allowed to have branches across states. T...

What is Net National Product? When examining economic statistics, there is a crucial distinction worth emphasizing. The distinction is between nominal and real measurements, which refer to whether or not inflation has distorted a given statistic. Looking at economic statistics without considering inflation is like looking through a pair of binocular...

What is the One Third Rule? The one-third rule gives an estimate about the change in the productivity and effectiveness of labor owing to changes in capital. In other words, this rule enables one to figure out how changes in technology or capital will affect the production levels. The one-third rule observes what change in labor productivity will ta...