The profit realized when an investment is sold for more than its purchase price. Short-term capital gains are taxed differently than long-term gains in many jurisdictions.
A financial statement tracking cash moving through operating, investing, and financing activities during a period.
Interest calculated on the initial principal and also on the accumulated interest from previous periods. It allows investments to grow exponentially over time.
The original purchase price of an investment plus commissions, used to calculate taxable gain or loss.
An agency's assessment of a borrower's ability to repay debt, ranging from investment grade to speculative.