- face value
- The principal of a stock, bond, or other security. Also the principal of an insurance policy. Face value is sometimes called par value.
- fair market value
- The reasonable price of an asset. Fair market value is the price that a willing seller and buyer would negotiate for an asset, given that both know all the facts and are not under compulsion to buy or sell.
- Federal Unemployment Tax
- Tax paid on wages and salaries to pay for federal and state unemployment programs.
- fiat money
- Money not backed by gold.
- fidelity bonds
- Bonds that bankers purchase from insurance companies to protect themselves against robbery, employee fraud, and other wrongdoings. In some states, banks are required to purchase fidelity bonds.
- fiduciary
- A person who manages someone else’s investments.
- finance charge
- The cost of interest payments, filing fees, and other costs apart from the actual cost of an item. The finance charge is what you pay when you finance a purchase.
- Financial Accounting Standards Board (FASB)
- The board that establishes rules for certified public accountants (CPAs). This board also determines the generally accepted accounting principles.
- financial planning
- Counseling by financial planners to help individuals get the highest returns for their investments.
- fiscal year
- A period of 12 months for which a company plans its budget and reports on its financial activity. The fiscal year and the calendar year do not necessarily coincide; the fiscal-year can begin at any point in the calendar year.
- fixed asset
- A tangible asset, such as equipment, that a company cannot dispose of without interrupting normal business activities.
- fixed-rate loan
- A loan whose rate of interest does not change.
- fixture
- Personal property that becomes part of real property because of the way in which it is used. Fixture is a legal term. If you build shelves into a wall in your rented apartment, they become a fixture; that is, they are a part of the rental property.
- forbearance
- Not seeking penalties against a borrower in default, on the condition that the borrower will fulfill obligations in the future.
- foreclosure
- Legal proceeding in which a lender attempts to obtain the collateral that was secured for a defaulted loan.
- forged check
- A check whose drawer signature or endorsement signature is not valid.
- forgery
- Fraudulently altering a document, such as a check.
- Form 1099
- The disclosure form filed with the IRS that lists all independent contractor income and all unearned income from stocks, bonds, interest, and the like.
- franchise
- A business arrangement whereby one party is allowed to use another party’s name for a fee. Fast-food eateries are the best examples of franchises.
- franchise tax
- A tax imposed by a state on a business headquarters outside the state that does business in the state.
- fraud
- Intentional deception undertaken to trick someone else into parting with something of value. No legal definition of fraud exists.
- future value
- The value that a stock, bond, or commodity will attain in the future.
- futures
- Commodities to be delivered and paid for at a future date at a price agreed upon by the buyer and seller.