Meeting the standards set by the Health Insurance Portability and Accountability Act of 1996 for electronic data interchange, ensuring the protection and confidentiality of health information.
Hire Purchase (HP) is a method for buying goods in which the purchaser takes possession upon an initial installment payment and gains ownership once all agreed subsequent payments are made.
Hire Purchase (HP) is a type of installment purchase plan where the buyer takes possession of an item immediately and pays for it in periodic installments, while ownership of the item remains with the seller until the final payment is made.
A histogram is a type of bar graph that represents the frequency of data occurrences within certain intervals or bins. It is a fundamental tool in statistics for illustrating the distribution of numerical data.
A historic district is a designated area where the buildings are considered to have significant historic character. This designation makes the area eligible for certain federal assistance programs and protects it from clearance in conjunction with federally sponsored programs.
A historic structure is a building officially recognized for its historic significance. Such structures may qualify for special tax credits aimed at encouraging their preservation and rehabilitation.
A method of valuing units of stock or other assets based on the original cost incurred by the organization, charging the original cost against profits through various means such as FIFO or average cost, and reporting depreciation based on the original cost.
Historical Cost Accounting is a system of accounting based primarily on the original costs incurred in a transaction. Often employed to enhance objectivity, ease of application, and audit verification.
The accounting principle under which assets are recorded and carried in the books of account at their original purchase cost.
A voluntary statement appearing in the annual accounts and report of some companies in which the main financial results are given for the previous five to ten years.
Historical Yield refers to the return on investment provided by a mutual fund, typically a money market fund, over a particular period of time. For instance, a money market fund may advertise that its historical yield averaged 4% over the last year.
In a business and internet context, the term 'hit' can refer to both a successful product, service, or person, as well as a visit to a web page. A product may become popular with customers, or an employee may impress a supervisor, constituting a 'hit.' In the digital realm, 'hit' counts measure web traffic to a site.
A group of targeted individuals or organizations identified by a company to be approached for sales presentations or funding requests.
A colloquial term used to describe employees going on strike against their employer, usually as a protest against labor conditions, wages, or other employment terms.
HMRC, or Her Majesty's Revenue and Customs, is the UK government department responsible for the collection of taxes, administration of national insurance, and overseeing various forms of statutory payments.
High Net-Worth Individuals (HNWIs) are individuals with substantial financial assets or investment portfolios. Their significant wealth typically qualifies them for specialized financial services and investment opportunities.
Hoarding refers to the excess accumulation of commodities or currency in anticipation of scarcity and/or higher prices, often leading to market distortions.
A hobby loss refers to losses incurred by a taxpayer in an activity not pursued for profit. Hobby losses are deductible only to the extent of income generated by the hobby. An activity that generates a profit in three of five years is presumed to be operated for profit.
A financial projection model that predicts sharply increasing earnings following a period of modest growth, visually resembling a hockey stick when plotted on a graph.
A hold harmless agreement involves the assumption of liability through a contractual arrangement by one party, effectively eliminating the liability on the part of another party. These agreements are common in scenarios where one entity wants to minimize their risk exposure.
A Hold Harmless Clause is a provision in a contract where one party agrees to protect another party from claims and liabilities that may arise during the execution of the contract. Such clauses are critical for risk management in various business agreements.
In real estate, a holdback refers to a portion of money that is not paid out until certain specified events or conditions have been met. These events could include the completion of a floor loan, the fulfillment of a loan commitment, or retainage on a construction contract.
Holdback pay refers to wages or salary withheld from an employee by the employer until a specific condition is fulfilled. This may happen due to the time necessary for payroll computation or as security against cash advances or tools lent to an employee.
A Holder in Due Course is a holder who has taken a negotiable instrument in good faith for value, without notice of any defect or claim to it. This legal concept is crucial in financial and property transactions to ensure the integrity and reliability of negotiable instruments.
A holder of record is the owner of a company's securities as recorded on the books of the issuing company or its transfer agent as of a particular date.
In commercial and property law, 'holding' refers to property to which one has legal title and of which one is in possession. The term may also refer to the ownership of stocks or shares in corporations.
A holding company is a type of corporation that owns other companies' outstanding stock. Its primary purpose is to own shares of other companies to form a corporate group.
A gain resulting from the length of time an asset has been held rather than its use in the operations of a business.
The holding period is the length of time an investment is owned or expected to be owned. It is critical in determining if a gain or loss from the sale or exchange of a capital asset is long-term or short-term for tax purposes.
A holdout is an individual or entity that refuses to sell an asset or agree to terms in the early stages of negotiation, typically in an attempt to realize a higher price or more favorable conditions.
A holdover tenant is an individual who remains in possession of leased property after the expiration of their lease term. This concept is often associated with tenancy at sufferance.
Holiday pay refers to wages or salary paid to an employee during a period of vacation leave to which they are entitled. It ensures employees enjoy compensated time off from work.
Home banking, also known as e-banking or online banking, refers to the process of carrying out banking transactions via a home computer linked to a bank's system through the Internet. It offers users the convenience to manage banking activities like balance checking and fund transfers from home.
Home equity conversion involves the process of liquidating all or a portion of the equity in one's home. This can be achieved through various financial products aimed at providing the homeowner with cash while retaining the right to live in the home.
A Home Equity Line of Credit (HELOC) is a type of home equity loan that establishes an account the borrower can draw upon as desired, with a maximum outstanding debt limit similar to a credit card.
A home equity loan is a loan secured by a second mortgage on one's principal residence, typically used for non-housing expenses. It gained popularity in the late 1980s due to its tax-deductible interest.
A home loan, also known as a mortgage, is a financing arrangement in which an individual borrows money from a financial institution to purchase residential property.
Home mortgage interest refers to any interest paid on a loan secured by the taxpayer's personal residence, including the principal residence or a second home.
A 'home office' can refer to either the headquarters of a company or an office within a personal residence used exclusively for business purposes. Each carries specific implications, particularly in terms of taxation and business operations.
A home page serves as the initial point of access for a website or a web browser, offering a portal to various contents or functionalities.
A Home Price Index (HPI) is a measure that tracks the changes in residential properties' prices over time. It provides an overview of the housing market's price trends, pegged to a base value rather than indicating average or median home prices in dollar amounts.
The Homebuyer Tax Credit was a limited-time program enacted in 2009 to encourage first-time homebuyers to purchase homes by offering a tax credit of up to $8,000.
The Homeowner Warranty Program (HOW) is a private insurance program designed to protect purchasers of newly constructed homes from structural and mechanical defects, ensuring peace of mind for new homeowners.
A homeowner's equity account is a credit line offered by banks and brokerage firms, allowing homeowners to access the equity built up in their homes. This type of account acts as a revolving credit second mortgage.
An insurance policy designed specifically for homeowners, providing protection against losses caused by common disasters, hazards, theft, and liability. Coverage and costs of homeowner’s insurance policies can vary widely.
A Homeowners' Association (HOA) is an organization of homeowners in a particular subdivision, planned unit development, or condominium. It is generally formed for the purpose of enforcing deed restrictions and managing the common elements of the development.
Homeownership refers to the state of living in a structure that one owns, rather than renting or serving as a tenant. Owning a home provides financial stability and potential asset appreciation over time.
The homeownership rate is the percentage ratio of owner-occupied dwelling units to total occupied dwelling units in an area. In 2010, the homeownership rate for the United States was 66.9%, indicating the proportion of all households owning the home in which they lived.
A homestead refers to a house and the surrounding land that is owned and used as a dwelling. Under modern homestead exemption laws enacted in most states, any property designated as a homestead is exempt from execution and sale by creditors in case of bankruptcy.
A homestead exemption is a legal provision that reduces the taxable value of a homeowner's primary residence, effectively decreasing the property tax burden.
Homework refers to tasks assigned to students or employees to be completed outside of regular academic or work hours. The term encompasses both educational assignments for students and job-related tasks for employees.
The term 'homogeneous' refers to something having the same composition or form, often used in the context of organizations that produce or sell products with great similarities. This can lead to reduced organizational development and manufacturing costs.
A market structure characterized by a few firms producing products that are virtually indistinguishable from one another. Examples include the petroleum industry and network television.
The Hong Kong Stock Exchange (SEHK) is a primary marketplace for listed securities in Hong Kong, established in 1947. It serves as a central hub for the trading of a variety of financial instruments and houses the leading market indicator, the Hang Seng Index.
In business and finance, honor refers to accepting and paying an obligation when due, as well as recognizing significant accomplishments through rewards or accolades.
An honorarium is a voluntary payment given to a professional for services for which fees are not legally or traditionally required, often for cultural, social, or academic contributions.
The Hope Scholarship Credit was a tax credit that provided financial assistance for higher education expenses but was replaced in 2008 by the American Opportunity Tax Credit.
Horatio Alger was a 19th-century American author known for his novels that depicted poor but honest characters who achieved success through hard work and determination.
Horizontal Analysis is a time series analysis of financial statements that covers more than one accounting period to examine the percentage change in an account over time.
Horizontal Channel Integration is a strategy wherein a company acquires or increases its control over some of its competitors in the same industry, often aiming to enhance market share, reduce competition, and realize synergies through expanded operations.
A horizontal combination occurs when two or more companies operating at the same level in an industry merge to form a larger entity. It is similar to a horizontal merger.
Horizontal conflict refers to discord between competitors operating at the same level within a marketing channel, often resulting in market oversaturation and severe competition. It contrasts with vertical conflict, involving different levels within the distribution hierarchy.
Horizontal expansion refers to the growth strategy where a business increases its capacity and market share by acquiring facilities, buildings, or equipment to handle a higher volume of sales for products it already offers.
The presentation of a financial statement in which the debits are given on one side of the statement and the credits on the other. In the case of a balance sheet, the fixed assets and current assets would be shown on the left-hand side of the statement, and the capital and liabilities on the right-hand side.
Horizontal integration refers to the strategy where a company acquires, merges, or takes over another company operating at the same level of the value chain in the same industry. The primary aim is to reduce competition, increase market share, and achieve economies of scale.
A horizontal merger involves the merging of companies with similar functions in the production or sale of comparable products. It is often scrutinized for its potential anticompetitive impacts.
Horizontal specialization is an organizational process through which a single management function, such as recruiting, is divided among one or more subordinates. Also known as functional management, horizontal specialization commonly occurs due to an organization's growth requiring additional management coordination and control.
A horizontal union is a type of labor union that represents all workers in a particular craft or skill across an entire industry, region, or country, irrespective of the specific workplace.
A form of health insurance that covers hospital stays and related medical costs, such as medicines and physicians' services. Many organizations provide at least part of the cost of hospitalization insurance for their employees, with coverage varying depending on the specific policy.
A host serves as a central device or entity in various contexts, primarily in computing and communications, that aids in networking and data management, or in managing online interactions.
A host computer is a central system that provides services to other computers connected to it via a network. It is generally the more remote machine when two or more computers are used simultaneously.
A hostile bid is an attempt to acquire a company without the approval of the company's board of directors. Unlike an agreed bid, a hostile bid is unsolicited and can be seen as unfriendly by the target company.
Hostile fire refers to fire that is not contained within its intended environment, causing unintended damage to property. Insurance policies often provide coverage for such incidents, protecting against fortuitous loss.
A hostile takeover is an acquisition attempt by another company or raider against the wishes of the current management and board of directors.
A newly issued stock that is in great public demand, often experiencing significant price increases at its initial public offering (IPO) due to high demand and limited availability of shares. Also known as a hot new issue.
Hot money refers to capital that moves rapidly between financial markets to capitalize on interest rate differences or to avoid risks such as political intervention. Additionally, it may refer to dishonestly acquired money that needs to remain untraceable.
The term 'hot spot' can refer to either a place providing wireless Internet access or a clickable area in a hypertext document that calls up further information.
A term used to describe newly issued stock that rises quickly in price, often due to strong interest and demand from investors.
A hotlink is a connection between programs that allows users to change information in one program while the computer updates the same information in linked programs. Hotlinks are commonly implemented through technologies such as OLE (Object Linking and Embedding) or the older DDE (Dynamic Data Exchange) method.
Named after the escape magician, the Houdini chip is a specialized computer chip that allows machines to run both IBM-compatible and Apple computers. It facilitates the transfer of information between two different computer processors.
In various contexts, the term 'house' can denote different meanings ranging from a dwelling for residence to a business establishment engaged in securities or investment banking.
A house account is managed directly by the main office or a high-ranking executive of a firm, rather than by individual sales representatives in specific territories.
House to house transportation refers to the seamless logistics service that facilitates the movement of goods directly from the shipper's location to the receiver's location without intermediate handling.
House-to-House Sampling is a marketing strategy involving the direct distribution of product samples to individual homes to encourage trial and eventual purchase, often aiming to stimulate word-of-mouth promotional effects.
House-to-house selling, often referred to as door-to-door selling, is a direct sales technique where sales representatives visit potential customers at their homes, either with or without an appointment, to pitch products or services.
Household workers are individuals employed to perform domestic work in a private residence, such as nannies, housekeepers, and caretakers. Notably, federal income tax withholding is not required on payments made to household workers, but Social Security taxes must be paid.
An essential economic indicator that measures the capability of an average household to afford a home in a specific region. Primarily used to assess housing market conditions.
The Housing and Economic Recovery Act of 2008 was legislation passed to address the subprime housing crisis by creating a new regulator for housing-related Government-Sponsored Enterprises (GSEs) and granting enhanced powers to enforce standards and restrictions on these entities.
Housing and Urban Development (HUD) is a cabinet-level U.S. government agency established in 1965 to implement federal housing and community development programs. The Federal Housing Administration (FHA) is a part of HUD.
The Housing and Urban Development Department (HUD) is a U.S. government agency designed to ensure fair housing standards and affordable housing across the country.
A housing bond is a short- or long-term bond issued by a local housing authority to finance short-term construction of low- or middle-income housing or long-term commitments for housing, plants, pollution control facilities, or similar projects.
A housing code is a local government ordinance that sets minimum standards of safety and sanitation for existing residential buildings, as opposed to building codes, which pertain to new construction.
A statistic compiled and reported by the U.S. Census Bureau (Census) that represents the number of new housing units completed during the reporting period. The Census defines a completion as a unit that has a roof and is ready for occupancy.
A Housing Finance Agency (HFA) is a governmental (state or local) organization designed to provide housing assistance, often through tax-free bonds and low-interest mortgage loans for eligible borrowers.
An important economic indicator that offers an estimate of the number of dwelling units on which construction has begun during a stated period. The number of housing starts is closely related to interest rates and other basic economic factors.
HTML, or Hypertext Markup Language, is the standard language used to create and design documents on the World Wide Web. HTML elements form the building blocks of all websites.
A huckster, often described pejoratively, is an aggressive or unethical seller who employs misleading assurances and exaggerated claims to sell goods or services.
Human capital refers to the skills, knowledge, and experience possessed by an individual, viewed in terms of their value to an organization. This concept helps explain variations in wages and employment decisions in the labor market.
Human Factors, also known as Human Factors Engineering, Human Engineering, or Engineering Psychology, is a domain within Industrial Psychology focused on the optimal design of machines and systems for effective human use.
Human Information Processing (HIP) refers to the cognitive processes involved in thinking, remembering, interpreting, and making decisions. Understanding HIP is important for accountants as it provides insights into how people use information in decision-making, which can inform the selection of the most appropriate information and formats for financial reporting.
