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On a debtor's bankruptcy, a secured creditor cannot recover more on a debt than the value of the collateral covering the debt.
Cost of Goods Sold
The direct costs associated with producing goods sold by a business, including materials and labor.
Statement of Cash Flows
A financial statement that summarizes the amount of cash and cash equivalents entering and leaving a company.
Indirect Method
A cash flow statement approach that adjusts net income for changes in balance sheet accounts to convert it from an accrual basis to a cash basis.
Net Income
The amount of profit that remains after all operating expenses, taxes, and costs have been subtracted from total revenue.
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