Vijay Shankar Sharma
Textbook finance, M&A, governance, strategy, and organisation terms. Not UNITE and not Layer 4. 147 terms. Textbook meanings only.
7 terms. Page 1 of 1.
risk · intro
The risk that changes in laws, regulations, or their enforcement will adversely affect a company's business model, costs, or competitive position. It is a significant consideration in heavily regulated industries such as banking, healthcare, and energy.
governance · intermediate
A business transaction between a company and an individual or entity with a pre-existing relationship to it, such as a director, executive, or major shareholder, which carries an inherent risk of conflict of interest and is therefore typically subject to additional disclosure requirements and board approval.
ma · intermediate
Factual statements and assurances made by each party in an acquisition agreement about the state of the business, its assets, liabilities, and legal standing, on which the other party is entitled to rely. If a representation later proves false, it typically gives the other party a contractual basis to seek a remedy, such as indemnification.
risk · intro
The risk that negative public perception, whether from a scandal, poor product quality, ethical lapse, or public controversy, will damage a company's brand value, customer trust, or ability to attract talent and capital, in ways that can be difficult to reverse and hard to quantify precisely in advance.
accounting · intermediate
The revision and republication of a company's previously issued financial statements to correct a material error, often triggered by an accounting mistake, fraud discovery, or a change in the application of accounting standards. A restatement can significantly damage investor confidence, especially when it reveals that previously reported profitability was overstated.
accounting · intro
The set of accounting principles governing when and how a company records revenue from a sale or contract, generally requiring that revenue be recognised when it is earned and the associated goods or services have been substantially delivered, rather than simply when cash is received.
risk · intro
The amount and type of risk an organisation is willing to accept in pursuit of its strategic objectives, typically formalised by the board as a guiding framework for management decision-making across the company.