Related Words

Remaining Principal Balance: The amount of principal dollars remaining to be paid under a mortgage as of a given time.

Post-Closing Trial Balance: A listing of all real account balances after the closing process has been completed: provides a means of testing whether total debits equal total credits for all real accounts prior to begin . . . View Full Definition

Order Imbalance: An order imbalance occurs when there are substantially more buy orders in a particular security than there are sell orders, or the reverse. The result is a wide spread between bid and ask pr . . . View Full Definition

On Balance: Used for listed equity securities. Left over after pairing off other market buy and sell orders, usually before the opening of a stock or market but at times at the close (especially during . . . View Full Definition

Previous Balance Method: Method of calculating finance charges based on the account balance at the end of the previous month.

Principal (Face Value Or Maturity Value): The amount that will be paid on a bond at a maturity date. The original amount of money invested, excluding any interest or dividends (e.g., $1,000 to purchase a Treasury bill).

Principal Exchange-Rated-Linked Securities (PERLS): A debt instrument with its principal and interest denominated in U.S. dollars, but with principal repayment depending on the exchange rate of the U.S. dollar against a foreign currency.

Principal Axis: Imaginary line which passes through the center of curvature of all the lens elements.

Principal Amount: The face amount of debt; the amount borrowed or lent. Often called principal.

Principal: In commercial law, the principal is the amount that is received, in the case of a loan, or the amount from which flows the interest.