Month: November 2020

The modified accelerated cost recovery system (MACRS) is a depreciation system used for tax purposes in the U.S. MACRS depreciation allows the capitalized cost of an asset to be recovered over a specified period via annual deductions. The MACRS system puts fixed assets into classes that have set depreciation periods.1

A media kit is a package of information, assembled by a company, to provide basic information about itself to reporters. The media kit is a promotional public relations tool that can serve several functions, including promoting the launch of a new company, promoting the launch of a new product or service by an existing company, giving a company a way to present itself as it would like to be seen, and/or saving time, by eliminating the need for a company’s employees to repeatedly answer the same questions. read more

A pledged asset is a valuable possession that is transferred to a lender to secure a debt or loan. A pledged asset is collateral held by a lender in return for lending funds. Pledged assets can reduce the down payment that is typically required for a loan as well as reduces the interest rate charged. Pledged assets can include cash, stocks, bonds, and other equity or securities.

The Welfare Pensions Plan and Disclosure Act (WPPDA) was a 1950s-era law that gave the U.S. Department of Labor regulatory authority over private employee benefits plans for the first time. In an effort to increase transparency, the WPPDA mandated that employers and labor unions provide plan descriptions and financial reports to the government. It was intended to make plan sponsors more accountable to participants and beneficiaries for the financial health of the plans.1

A capitalized cost is an expense that is added to the cost basis of a fixed asset on a company’s balance sheet. Capitalized costs are incurred when building or purchasing fixed assets. Capitalized costs are not expensed in the period they were incurred but recognized over a period of time via depreciation or amortization.

The Welfare Pensions Plan and Disclosure Act (WPPDA) was a 1950s-era law that gave the U.S. Department of Labor regulatory authority over private employee benefits plans for the first time. In an effort to increase transparency, the WPPDA mandated that employers and labor unions provide plan descriptions and financial reports to the government. It was intended to make plan sponsors more accountable to participants and beneficiaries for the financial health of the plans.1

A capitalized cost is an expense that is added to the cost basis of a fixed asset on a company’s balance sheet. Capitalized costs are incurred when building or purchasing fixed assets. Capitalized costs are not expensed in the period they were incurred but recognized over a period of time via depreciation or amortization.

SEC Form 4: Statement of Changes in Beneficial Ownership is a document that must be filed with the Securities and Exchange Commission (SEC) whenever there is a material change in the holdings of company insiders. Insiders consist of directors and officers of the company, as well as any shareholders, owning 10% or more of the company’s outstanding stock. The forms ask about the reporting person’s relationship to the company and about purchases and sales of such equity securities.

Section 1231 property is a type of property, defined by section 1231 of the U.S. Internal Revenue Code. Section 1231 property is real or depreciable business property held for more than one year.

The energy sector is a category of stocks that relate to producing or supplying energy. The energy sector or industry includes companies involved in the exploration and development of oil or gas reserves, oil and gas drilling, and refining. The energy industry also includes integrated power utility companies such as renewable energy and coal.