Terminology and Stakeholders 1
HCS/385 Version 1
[Type text]
University of Phoenix Material
Terminology and Stakeholders
Define the following terms using your text or other resources. Cite all resources according to APA
guidelines.
Term Definition Resource you used
Time value of The idea that today’s money will be Zelman, W., McCue, M., Glick, N., &
money worth more in the future. For example, Thomas, M. (2014). Financial
this concept suggests that $5 today management of health care
may be worth $10 in the future. organizations: An introduction to
fundamental tools, concepts, and
applications (4th ed.). San Francisco,
CA: Jossey-Bass.
Efficient Efficient markets are places such as Efficient Market. (n.d.). In Business
market stock markets where all prices and Dictionary. Retrieved from
other important information are http://www.businessdictionary.com/defi
available to anyone who invested in the nition/efficient-market.html
stock. In an efficient market, prices and
stock information is also updated to
reflect current information.
Primary The primary market is where investors Investopedia. (2015). What's The
versus buy new securities while the secondary Difference Between Primary and
secondary market is where the investors trade the Secondary Capital Markets? Retrieved
market security after it is purchased. from
http://www.investopedia.com/ask/answ
ers/012615/whats-difference-between-
primary-and-secondary-capital-
markets.asp
Risk-return The risk of an investor only accepting Risk-Return Trade-Off. (2012). In
tradeoff the highest amount of return. If there is Financial Dictionary. Retrieved from
more risk involved with a trade, the http://financial-
more potential to take more money. dictionary.thefreedictionary.com/Risk-
return+trade-off
Agency This problem occurs when one person Principal–Agent Problem. (n.d.). In
(principal and can make decisions that can affect Wikipedia. Retrieved from
agent other people. For example, when a https://en.wikipedia.org/wiki/Principal
problems) manager agrees to take on an extra %E2%80%93agent_problem
task without talking to their team first;
this presents principle and agent
problems.
Market Market information is what influences Market Information and Security Prices
information investors to buy or sell stock based on and Information Asymmetry. (2014).
and security positive or negative information. Retrieved from
prices and Information asymmetry keeps up with https://octotutor.com/market-
HCS/385 Version 1
[Type text]
University of Phoenix Material
Terminology and Stakeholders
Define the following terms using your text or other resources. Cite all resources according to APA
guidelines.
Term Definition Resource you used
Time value of The idea that today’s money will be Zelman, W., McCue, M., Glick, N., &
money worth more in the future. For example, Thomas, M. (2014). Financial
this concept suggests that $5 today management of health care
may be worth $10 in the future. organizations: An introduction to
fundamental tools, concepts, and
applications (4th ed.). San Francisco,
CA: Jossey-Bass.
Efficient Efficient markets are places such as Efficient Market. (n.d.). In Business
market stock markets where all prices and Dictionary. Retrieved from
other important information are http://www.businessdictionary.com/defi
available to anyone who invested in the nition/efficient-market.html
stock. In an efficient market, prices and
stock information is also updated to
reflect current information.
Primary The primary market is where investors Investopedia. (2015). What's The
versus buy new securities while the secondary Difference Between Primary and
secondary market is where the investors trade the Secondary Capital Markets? Retrieved
market security after it is purchased. from
http://www.investopedia.com/ask/answ
ers/012615/whats-difference-between-
primary-and-secondary-capital-
markets.asp
Risk-return The risk of an investor only accepting Risk-Return Trade-Off. (2012). In
tradeoff the highest amount of return. If there is Financial Dictionary. Retrieved from
more risk involved with a trade, the http://financial-
more potential to take more money. dictionary.thefreedictionary.com/Risk-
return+trade-off
Agency This problem occurs when one person Principal–Agent Problem. (n.d.). In
(principal and can make decisions that can affect Wikipedia. Retrieved from
agent other people. For example, when a https://en.wikipedia.org/wiki/Principal
problems) manager agrees to take on an extra %E2%80%93agent_problem
task without talking to their team first;
this presents principle and agent
problems.
Market Market information is what influences Market Information and Security Prices
information investors to buy or sell stock based on and Information Asymmetry. (2014).
and security positive or negative information. Retrieved from
prices and Information asymmetry keeps up with https://octotutor.com/market-