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Glossary Of Financial Terms(O)

Operating profit

Simply the concept of operating profit is meant as a difference between total revenue and total operating cost.

Option

Option can be simply meant as an agreement among the buyers and sellers for permitting to buy and sell at a constant price for a given period. In case of the stock market, the options can be bought from the specified dealers.

Overdraft

It is loan by the bank to the customer on its current account for a certain limit and agreed period. A rate of interest rate is being charged on the loan amount.

Overtrading

Overtrading can be defined as a condition, when the firm in the business increases its production in stead 0f having necessary steps for financing extra working capital.

Over-Subscription

In the share market some times the demand for the particular share exceeds to the number of shares offered. This is called the case of over-subscription.



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