To not to exercise or sell an option. An investor usually chooses abandonment when the option is out-of-the-money on the expiration date.

The amount of interest the buyer owes the seller on transactions of fixed income securities, such as most bonds and notes.

The monetary value of a company's raw materials, work in process, supplies used in operations and finished goods. Excess inventory on the balance sheet can represent slow downs in sales or overproduction. Inventory is considered liquid assets, since they can be easily converted into cash.

The current price above face value. This generally occurs when the coupon paid on the bond is higher than the market interest rate for similar securities. If the investor purchased the bond above par, he/she will suffer a capital loss upon the Bond's maturity since it will only be redeemed at face value.

The company's current liability owned to creditors for goods and services obtained during the normal course of business.

Current assets owed to the company for services or goods sold on credit.

A bond which is sold at a deep discount to its face value, and pays no coupons. Accrual bonds tend to be illiquid, and very sensitive to changes in interest rates. Although there is no actual cash flow of interest, the imputed interest on an accrual bond is taxable as it accrues under U.S. tax laws.

A bond sold at a price below its face value and can be redeemed at its face value when matured. Also called discount bond.

The act of acquiring control of another corporation, by either stock purchase or exchange. This can be achieved either through hostile or friendly means.

The constant supervision of a portfolio's holdings to maximize gains. Active management by fund managers is one of the benefits of a mutual fund.