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Transportation and Business Terms

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1. undervalued: A stock price perceived to be too low or cheap, as indicated by a particular valuation model. For instance, some might consider a particular company's stock price cheap if the company's P/E (price/earnings) ratio is much lower than the industry average. To refer to undervaluation or overvaluation implicitly assumes some model of valuation. It is always possible that the security is valued ...

2. underwrite  To guarantee, as to guarantee the issuer of securities a specified price by entering into a purchase and sale agreement. To bring securities to market.

3. underwriter A firm, usually an investment bank, which buys an issue of securities from a company and resells it to investors. In general, A party that guarantees the proceeds to the firm from a security sale, thereby in effect taking ownership of the securities.

4. unencumbered: Property that is not subject to any claims by creditors. For example, securities bought with cash instead of on margin and homes with mortgages paid off.

5. Uniform Commercial Code (UCC): Collection of laws dealing with commercial business.

6. Uniform System of Accounts: A code prescribing the reporting procedure and specified accounts for motor carriers described by the ICC. This accounting system is no longer in use.

7. US Treasury Bill: US government debt with a maturity of less than a year.

8. US Treasury Bond: US government debt with a maturity of more than 10 years.

9. US Treasury Note: US government debt with a maturity of one to 10 years.

10. useful life: The term used to describe the life over which an asset is expected to be useful to the company; cost is assigned to the periods benefited from using the asset.

  
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