bargain purchase


bargain purchase
The purchase of assets or other goods for substantially less than the fair market value. A bargain purchase can be made when the vendor is in liquidation or is otherwise financially distressed.

Accounting dictionary. 2014.

Look at other dictionaries:

  • Bargain Purchase — Financial assets acquired for less than fair market value. In a bargain purchase business combination, a corporate entity is acquired by another for an amount that is less than the fair market value of its net assets. Current accounting rules for …   Investment dictionary

  • Bargain Purchase Option — An option in a lease agreement that allows the lessee to purchase the leased asset at the end of the lease period at a price substantially below its fair market value. The bargain purchase option is one of four criteria, any one of which, if… …   Investment dictionary

  • Bargain-purchase-price option — Gives the lessee the option to purchase the asset at a price below fair market value when the lease expires. The New York Times Financial Glossary …   Financial and business terms

  • bargain-purchase-price option — Gives the lessee the option to purchase the asset at a price below fair value when the lease expires. Bloomberg Financial Dictionary …   Financial and business terms

  • bargain purchase option — See: capital lease …   Accounting dictionary

  • bargain — bar·gain 1 n often attrib [Old French bargaigne negotiation, haggling, from bargaignier to haggle] 1: an agreement between parties that settles what each gives or receives (as a promise or performance) in a transaction between them compare… …   Law dictionary

  • Bargain — Bar gain, n. [OE. bargayn, bargany, OF. bargaigne, bargagne, prob. from a supposed LL. barcaneum, fr. barca a boat which carries merchandise to the shore; hence, to traffic to and fro, to carry on commerce in general. See {Bark} a vessel. ] 1. An …   The Collaborative International Dictionary of English

  • Bargain and sale — Bargain Bar gain, n. [OE. bargayn, bargany, OF. bargaigne, bargagne, prob. from a supposed LL. barcaneum, fr. barca a boat which carries merchandise to the shore; hence, to traffic to and fro, to carry on commerce in general. See {Bark} a vessel …   The Collaborative International Dictionary of English

  • purchase — [n] possession obtained with money acquirement, acquisition, asset, bargain, booty*, buy, gain, investment, property, steal; concepts 446,710 Ant. sale, sell purchase [v] buy, obtain achieve, acquire, attain, come by, cop*, deal in, earn, gain,… …   New thesaurus

  • purchase — I (New American Roget s College Thesaurus) Act of buying Nouns 1. purchase, buying, emption; purchasing power; bargain (see cheapness); installment buying or plan, time purchase plan, buying on time, deferred payment, layaway plan, revolving… …   English dictionary for students