Accounting Terms-N

negotiable
Capable of being transferred from one party to another. Checks, drafts, securities, and commercial paper are negotiable.

net-asset value
The total value of a share in a mutual fund. The net-asset value is what each share would be worth if all shares were suddenly paid out.

net worth
The total value of the assets of a business less the liabilities.

no-load fund
A mutual fund that charges no sales commission.

nonrecourse
Refers to the lack of a legal claim against a party to a contract. In a nonrecourse arrangement, one or both parties are not liable if the contract is not fulfilled. The “wronged” parties, therefore, have no recourse to the law.

notary public
A public officer who attests to the authenticity of deeds, affidavits, and depositions.

note
A written promise to pay a debt or sum of money.

notes payable
In a general ledger, an account showing the business’s liability for promissory notes.

notes receivable
In a general ledger, an account showing the business’s promissory notes received from customers.

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• Accounting Terms
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• Analyzing Multifamily Real Estate Investments
• Construction Accounting
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