Examlex
An outgrowth of the ____ (referenced in Chapter 5) is that companies must account for the expected costs that occur as a result of long-term incentives such as the exercising of stock options.
Weighted Average Cost
The total cost of goods available for sale divided by the number of goods available for sale, giving each item a weight proportional to its cost.
Cost of Equity
The return a firm theoretically pays to its equity investors, i.e., shareholders, to compensate them for the risk of investing in the company.
Pre-tax Cost
The cost of an investment or expense before the application of taxes, representing the gross expense.
Market Price
The rate at present for the purchase or sale of a service or asset.
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