Talking about Finance: English Vocabulary List

the total income generated from business activities or other sources

"The company revenue increased this year."

"Ad revenue is the income a content creator generates by displaying paid advertisements on their videos"

the process of selling off assets, subsidiaries, or investments, often for strategic, ethical, or financial reasons

"The university announced divestment from fossil fuels."

"The university faced strong pressure from students to complete the divestment of its endowment funds from fossil fuel companies because the students believed that investing in oil and coal was inconsistent with the school's stated commitment to fighting climate change."

the total amount of money or properties owned by a company or an individual

"Her total assets include stocks"

"The company's total assets are worth over five million dollars."

a formal inspection of a business's financial records to see if they are correct and accurate or not

"The firm's finances undergo a rigorous external audit every year."

"An energy audit is a professional inspection and analysis of energy flows in a building to identify opportunities to improve efficiency and reduce consumption and cost."

the extra money that we get, besides our salary, as a reward

"She received a generous year-end bonus for her high performance."

"The company gave all of its employees a generous end-of-year bonus as a reward for their hard work and dedication during a very successful year that exceeded all of the company's financial goals and targets for growth and profitability."

the state or condition of not having enough money to pay one's debts

"The business faced insolvency last month."

"The company's prolonged insolvency led to its eventual bankruptcy and closure."

the ability of an entity to meet its long-term financial obligations

"The bank is reviewing the company's solvency before granting the loan."

"Solvency is the essential financial state of a person or entity that possesses sufficient long-term assets to cover its long-term liabilities"

a situation in which a person or business is unable to pay due debts

"Filing for bankruptcy gave the overwhelmed company a chance to reorganize."

"After years of debt, the small business finally filed for bankruptcy."

an official contract or arrangement by which a bank gives money to someone as a loan to buy a house and the person agrees to repay the loan over a specified period, usually with interest

"We took a mortgage for our house."

"They secured a thirty-year mortgage to finance the purchase of their dream home."

a natural or legal person that owns at least one share in a company

"Any shareholder can submit a question ahead of the general meeting."

"An activist shareholder is an individual who uses their equity stake in a corporation to pressure its management and board of directors into a specific course of action."

the management and handling of financial matters or transactions

"He works in online banking."

"Online banking allows customers to check their balances and pay bills from the comfort of their homes."

ivestments, securities, and assets held by an individual or entity for financial gain or future use

"The holding includes many valuable assets."

"The investment firm's diverse holding of stocks and bonds generated significant annual returns."

a hard time in a country's economy characterized by a reduction in employment, production, and trade

"The country slipped into a recession after two quarters of negative growth."

"Many people lost their jobs during the recession last year."

an accountant's profession or tasks

"She works in accountancy"

"After studying accountancy for five years, she finally became a certified public accountant."

the practice of reducing expenses or overhead in order to increase profitability or save money

"The company started cost cutting."

"Cost cutting is a business strategy of reducing all expenses and non-essential costs to improve profitability during a period of financial stress or falling revenues."