Page 6 - T.T. FINANTIAL

FINANTIAL TERMS

C

• CALL OPTION: The right given a buyer to buy stock at a specified price within
a certain time period.
• CALLABLE BOND: A bond that can be officially repaid by the issuer prior to
its maturity date (Out of courtesy, a premium is usually

paid when the bond is repaid.)
• CAPITAL GAIN: An increase from the purchase price to the selling prive of
common stock or any other capital asset; profit from the sale
of investments or property (A capital gain that persists for one
year or less is called a short-term capital gain. Likewise, one
that persists for more than one year is called a long -term
capital gain.)
• CAPITAL LOSS: A decrease from the purchase price to the selling price of
common stock or any other capital assets; a loss from the

sale of investments property.

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