Capitalisation Rate
Net operating income divided by property value, used to compare income-producing property.
Why it matters: It lets you compare a building in one market against a building in another without guessing.
26 terms
Dictionary — C
Capitalisation Rate, Category 3 Water, Coinsurance, Comparative Negligence and more. Each definition explains what the term means and why it changes a number.
Category 3 Water
Grossly contaminated water containing sewage or pathogens, requiring removal rather than drying of porous materials.
Why it matters: Category determines the whole restoration price, often doubling it against clean-water damage.
Run the water damage restoration & claim →Coinsurance
The percentage of a covered loss you pay after the deductible, or a penalty for insuring a property below a required percentage of its value.
Why it matters: The second meaning surprises people: underinsuring a building can proportionally reduce every claim you ever make.
Run the insurance claim value →Comparative Negligence
A rule reducing your recovery by your share of fault. Pure comparative allows recovery at any percentage; modified bars it above fifty percent.
Why it matters: Which version your state uses can decide whether a claim is worth pursuing at all.
Run the car accident settlement →Contributory Negligence
A stricter rule under which any fault on your part, however small, bars recovery entirely.
Why it matters: Only a handful of jurisdictions still apply it, and in those the evidence standard is unforgiving.
Run the car accident settlement →Contribution Margin
Price minus variable cost per unit — the amount each sale contributes toward fixed costs and profit.
Why it matters: It is the number that decides whether more volume helps or simply loses money faster.
Run the break-even point →Cost Per Click
The amount an advertiser pays each time someone clicks an ad, set by auction rather than a price list.
Why it matters: A high CPC signals high customer value, not high difficulty; it is only expensive relative to what a customer is worth.
Run the ad platform cac comparison →Credit Utilisation
Revolving balances divided by revolving limits, reported monthly to the credit bureaus.
Why it matters: A single card near its limit can hold a score down even when the overall ratio looks healthy.
Run the credit utilization →Cure
In maritime law, the injured seaman's right to medical care until maximum improvement, payable regardless of fault.
Why it matters: It pairs with maintenance and applies even where nobody was negligent.
Run the maritime & jones act →Cap Rate
Net operating income divided by property price, expressed as a percentage.
Why it matters: It lets you compare income properties across markets without guessing at financing.
Run the home sale net proceeds →Certificate of Occupancy
A municipal document confirming a building is safe and legal to occupy.
Why it matters: Work done without one can block a sale and force retrospective permits.
Run the home sale net proceeds →Chargeback
A forced reversal of a card payment initiated by the cardholder's bank.
Why it matters: Excessive chargeback ratios can cost a merchant its payment processing entirely.
Run the ad revenue & cpm →Chapter 7
A bankruptcy that liquidates non-exempt assets and discharges most unsecured debt quickly.
Why it matters: It requires passing a means test, and exemptions vary enormously between states.
Run the debt relief vs bankruptcy →Chapter 13
A bankruptcy reorganising debt into a three to five year repayment plan while protecting assets.
Why it matters: It is the route for people who want to keep a house or car they are behind on.
Run the debt relief vs bankruptcy →Chargeoff
An accounting write-off by a creditor after prolonged non-payment. The debt is still owed.
Why it matters: It stays on a credit file for years and is often sold to a collection agency for pennies.
Run the debt relief vs bankruptcy →Churn Rate
The percentage of customers lost in a period.
Why it matters: Halving churn does more for lifetime value than any pricing change, and it compounds.
Run the cac & ltv →Claims-Made Policy
Cover that responds only to claims reported during the policy period, regardless of when the incident occurred.
Why it matters: Letting it lapse can leave you exposed for work already completed unless tail cover is bought.
Run the umbrella insurance needs →Closing Disclosure
The final itemised statement of loan terms and costs, delivered before closing.
Why it matters: Comparing it line by line against the Loan Estimate is how last-minute fee changes get caught.
Run the closing cost →Cloud Egress
Data transferred out of a cloud provider's network, billed per gigabyte.
Why it matters: It scales with traffic rather than architecture, so it grows exactly when a bill is least welcome.
Run the hosting & cloud cost →Collateral
An asset pledged to secure a loan, which the lender can seize on default.
Why it matters: Secured debt is cheaper precisely because the risk moved onto something you own.
Run the heloc & home equity loan →Combined Loan-to-Value
All loans secured against a property divided by its value.
Why it matters: It is the limit that decides how much a home equity line will actually release.
Run the heloc & home equity loan →Compounding Frequency
How often earned interest is added to the balance and begins earning itself.
Why it matters: It matters far less than contribution rate and time, which is where attention usually belongs.
Run the compound interest →Condition Precedent
Something that must happen before a contractual obligation takes effect.
Why it matters: In insurance, prompt notice is often one, which is why late reporting can defeat a valid claim.
Run the water damage restoration & claim →Cost Per Acquisition
Total marketing and sales spend divided by customers acquired.
Why it matters: A high cost per click is only a problem relative to this number and to customer value.
Run the ad platform cac comparison →Cost Per Record
The average cost of each data record exposed in a breach, including response and lost business.
Why it matters: It rises sharply for regulated data, which is why healthcare and finance breaches cost most.
Run the data breach cost →Cross-Collateralisation
Using one asset to secure several loans, or several assets to secure one.
Why it matters: It can trap you: paying off one loan may not release the asset if another remains outstanding.
Run the business loan & credit line true cost →Estimates, not advice. Every figure here is produced from the inputs you enter and the formula printed on the page. Rules differ by state, carrier, lender and contract, so use these numbers to prepare for a conversation with a qualified professional rather than to replace one. See our full disclaimer.