Common Stock
Common stock is a security that represents equity ownership in a company. Common share holders elect the board of directors and vote on corporate policies. They also participate in a company's profits via dividend payments and capital appreciation.
Compensation
Compensation is payment for services. Examples of compensation include wages, salaries, commissions, tips, professional fees, and net self-employment income. In other words, compensation is earned income.
Compound Interest
Compound interest is interest that accrues on both the initial principal and the accumulated interest from previous periods. Thus, over time, the principal increases exponentially. For example, a $1,000 loan earning compound interest at 10% per year would grow to $1,100 at the end of the first year. Then, based on the formula below, it would accumulate to $1,210 at the end of the second year:
Compound Sum = Principal (1 + Interest Rate) Number of Periods
$1,210 = $1,000 (1.10)2
By extension, the more frequently the compounding, the greater the yield will be.
Conservator
A conservator is an individual or an organization who the court appoints as a guardian. This entity oversees, protects, or preserves the interests of someone deemed incapable of managing his or her own affairs.
Consumer Debt
Consumer debt consists of the loans individuals use for personal consumption. This is in contrast with the business or government debt. Examples of consumer debt include credit cards, student loans, auto loans, mortgages, and payday loans. Economists consider consumer debt to be suboptimal because it often has high interest rates. This makes it difficult to eliminate.
Consumer Price Index (CPI)
The Consumer Price Index is an economic gauge of inflation that measures the price of staple goods and services. Every month, the U.S. Department of Labor averages the changes in price to a basket of goods and services. The resulting CPI is a primary tool in determining how people are experiencing inflation.
Credit Card
A credit card is a thin rectangular piece of plastic or metal which facilitates consumer debt. This payment card entitles the holder to use funds from the issuing company to purchase goods and services. Cardholders must pay back the borrowed money, plus any applicable interest and agreed-upon charges. They must do so either in full by the billing date or over time.
Debit Card
A debit card is thin, rectangular, plastic payment mechanism issued by a bank. The card electronically enables holders to withdraw money or pay for purchases directly from their bank accounts.