LONGTERM EQUITY ANTICIPATION SECURITY (LEAPS)

Traded on the stock exchanges and over the counter, with long expiration dates of two to five years instead of the usual nine months, this is a US call or put option on securities and indexes. Long-term investment strategy with no purchasing the underlying instrument can occur.

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LOOKBACK OPTION

When a buyer can review the price changes and take the highest profit point. Refer to fixed strike and floating strike look back options as well as options on the maximum or minimum.

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LONG TERM GAIN/LOSS

If held for more than one year, this is a capital assets’ gain or loss.

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LOOKBACK PERIOD

Determining if a company is paying employment taxes on the correct depositing schedule during this timeframe. July 1 through the next June 30 is this timeframe. A company decides during this time period if it should pay taxes on a semi-weekly or monthly basis, using the total paid-taxes amount.

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LONG TERM CARE INSURANCE

Once an insured becomes a resident in a nursing home, a daily benefit payout comes from this health insurance.

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LONG ARM STATUTE

The jurisdiction of foreign courts is extend to local territory, usually on a reciprocal basis for specific types of cases, by this local law.

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LONG TERM DEBT

Some amount due from the balance sheet date for 12 months or longer. A bank loan, mortgage bonds, debenture, or other obligations not due for one year are several examples. In a bank’s balance sheet, long-term debt with its interest rate and date of maturity must be disclosed. This is a measure of a firm’s leverage. It is distinguished from long term liabilities. It may include services already paid as a long-term debt amount.

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LONG COUPON

On a bond, a longer period is covered by this specific interest payment than other coupons. The first interest installment is typically associated with a long coupon.

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