Percentage is a number or ratio represented as a fraction of 100. Percentage can be written as whole numbers, fractions, or decimals. Percentage is denoted by the symbol (%) or abbreviated as 'pct'
Bad debt refers to uncollectible loans and balances for businesses providing credit. Higher credit risk leads to higher interest rates. Companies estimate bad debt through provisioning in contra asset account
Present worth P of uniform series A is calculated using P/A factor. Capital recovery factor (CRF) determines equivalent annual worth A from present worth P. Sinking fund factor (A/F) calculates equivalent annual worth from future amount F
Shareholders' equity represents owners' claim on company assets after debts are settled. It consists of common/preferred shares and retained earnings. Equity can be positive (assets exceed liabilities) or negative (assets insufficient)
Gross to net (GTN) is the process of moving from total to actual net revenue after deductions. Gross revenue includes total sales without returns, allowances, or discounts. Net revenue is calculated by subtracting total deductions from gross revenue
Present value is the current worth of future money or cash flows. Money today is worth more than future amounts due to time value. Future value is discounted back to present value using discount rate