AVERAGE COST METHOD is using a weighted average cost for items in inventory rather than actual cost for each specific item.
COMPOUND ANNUAL GROWTH RATE (CAGR) is the year over year growth rate applied to an investment or other part of a companys activities over a multiple-year period. The formula for calculating CAGR is (Current Value/Base Value) ^ (1/# of years) - 1.
COST is the amount of money that must be paid to take ownership of something; expense or purchase price.
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