 |
Definition of 'Trading Dollars'
A slang term describing a company that is spending just as much money as it is making on a product that it develops. Trading dollars refers to a breakeven business investment. The company essential trades its expenses for an equal amount of return, thus the name "trading dollars," or "trading dollars for dollars."
|
 |
Investopedia explains 'Trading Dollars'
Since businesses are interested in generating profits, trading dollars is a situation that typically describes a waste of effort and resources. While the venture did not lose money, the capital could have been allocated to a profitable venture. In this sense, any event that results in trading dollars can be viewed as a loss rather than just a break-even event.
For example, a gold exploration company that spends $10 million to mine $10 million worth of gold can be said to be trading dollars. Likewise, an oil company that invests $5 million to extract only $5 million worth of oil is trading dollars. These business ventures are zero-sum games, where the business's gains are exactly balanced by its losses (or expenses) in product development or in a particular business investment.
|
Search results for 'Trading Dollars'
-
http://www.investopedia.com/ask/answers/08/how-to-convert-currencies.asp
... addition, it is important to note that the exchange rate you get when trading one
currency ... $1 can buy in euros or as the amount one euro will buy in dollars. ...
-
http://www.investopedia.com/articles/younginvestors/09/textbook-saving-tips.asp
Students, Get More Bang For Your Textbook Dollars. ... Commission on online auctions
is taken at sale only and is normally only a few dollars. ...
-
http://www.investopedia.com/ask/answers/06/USDdenominatedaccount.asp
... However, just because they have US dollars doesn't mean that they are limited
to trading currency pairs that include the US dollar. ...
-
http://www.investopedia.com/articles/younginvestors/06/competingpriorities.asp
For Young Investors, Too Many Choices, Too Few Dollars. ... Make extra payments
any time that you can, even if it's only a few dollars. ...
-
http://www.investopedia.com/articles/forex/06/SevenFXFAQs.asp
... (For further reading, see our Brokers And Online Trading tutorial.) The FX ... denominated
accounts, all profits or losses are calculated in dollars and recorded ...
-
http://www.investopedia.com/articles/basics/04/050704.asp
... is the balance of trade between a country and its trading partners, reflecting ... debt
will be serviced and ultimately paid off with cheaper real dollars in the ...
-
http://www.investopedia.com/university/inflation/
... (To learn how to use inflation when trading currencies, read Forex Walkthrough:
Economics.) What causes inflation? ... US Government Cracks Down On Insider Trading. ...
-
http://www.investopedia.com/articles/forex/06/sevenfxfaqs.asp
... (For further reading, see our Brokers And Online Trading tutorial.) The FX ... denominated
accounts, all profits or losses are calculated in dollars and recorded ...
-
http://www.investopedia.com/articles/optioninvestor/06/goldsilverfutures.asp
... Gold Futures Gold is traded in dollars and cents per ounce. For example, when gold
is trading at $600 per ounce, the contract has a value of $60,000 (600 x 100 ...
-
http://www.investopedia.com/articles/mutualfund/07/late-trading.asp
... Impact on the Industry The late trading scandal gave a black eye to the mutual ... Despite
the billions of dollars the industry brings in each year and all the ...
|
|
