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Category: N

Net Realizable Value (NRV)

Definition Net Realizable Value (NRV) is a financial term that represents the estimated selling price of an item minus any cost associated with closing the

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Net Present Value (NPV)

Definition Net Present Value (NPV) is a financial metric used in capital budgeting and investment planning that indicates the estimated monetary gain or loss that

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Net Receivables

Definition Net receivables is a financial term referring to the total money owed to a company by its customers, minus the provision for credit losses.

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Net Premiums Written

Definition Net premiums written refers to the total premiums that an insurance company has underwritten or has committed to provide coverage for, after accounting for

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Net Sales

Definition Net sales refer to a company’s total revenue minus the cost of returns, allowances, and discounts. This figure reflects the actual amount of a

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Net Profit Margin

Definition Net Profit Margin is a profitability ratio that measures how much out of every dollar of revenue a company keeps as profit after deducting

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Net Proceeds

Definition Net proceeds refer to the amount of money left after all the related costs have been deducted from the gross income. It is commonly

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Net Premium

Definition Net premium refers to the amount of money an insurance company expects to receive from a policyholder for a policy period. It is calculated

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Net Present Value Rule

Definition The Net Present Value (NPV) Rule is a financial principle that suggests that a project or investment should only be accepted if its NPV

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