✅ 🔤 A–Z of Finance Terms 💰📊📈

A – Assets
Resources owned by a person or company with economic value.

B – Balance Sheet
Financial statement showing assets, liabilities, and equity.

C – Capital
Money or resources used for investment or business.

D – Debt
Money borrowed that must be repaid with interest.

E – Equity
Ownership interest in a company or asset.

F – Financial Statement
Report showing financial performance and position.

G – Gross Profit
Revenue minus cost of goods sold.

H – Hedge
Investment to reduce risk of loss.

I – Interest
Cost of borrowing money or return on investment.

J – Journal Entry
Record of financial transactions in accounting.

K – Key Financial Ratio
Metrics used to evaluate financial performance.

L – Liability
Financial obligation or debt.

M – Market Capitalization
Total value of a company’s shares.

N – Net Income
Profit after all expenses and taxes.

O – Operating Expense
Daily business costs like rent and salaries.

P – Portfolio
Collection of investments.

Q – Quick Ratio
Measure of short-term liquidity.

R – Return on Investment (ROI)
Profit earned relative to investment.

S – Stock
Ownership share in a company.

T – Tax
Government charge on income or goods.

U – Underwriting
Process of evaluating financial risk in lending/investing.

V – Volatility
Rate at which asset prices fluctuate.

W – Working Capital
Difference between current assets and liabilities.

X – XIRR (Extended Internal Rate of Return)
Return on investment with irregular cash flows.

Y – Yield
Income generated from an investment.

Z – Zero-Coupon Bond
Bond sold at discount without periodic interest.

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