PROFIT Definition

Bookmark and Share

PROFIT is the excess of revenues over outlays in a given period of time (including depreciation and other non-cash expenses).

Learn new Accounting Terms

ACCOUNTING TREATEMENT is the methods, processes and decisions as to any given accounting decision as to how a transaction is to be or is handled in compliance to GAAP and all applicable statutes.

IN-THE-MONEY OPTION is an expression used for any option series with intrinsic value, i.e., the options strike (exercise) price and market price of the underlying security are such that the holder can exercise the option at a profit. For example, if a call option with a strike price of 30 and the underlying stocks market price is currently 33, the call is in the money. A put option is considered in the money when the underlying stock is selling below the strike price. Premiums and other transaction costs are not considered in determining whether the option is in the money or out of the money. See OUT-OF-THE-MONEY OPTION.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.