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Raw material

The financial definition for Raw material:

Materials a manufacturer converts into a finished product.




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Material Adverse Change or Effect

Material Adverse Change or Effect
Many mergers and acquisitions contracts include a material adverse change clause that allows a company to renegotiate or walk away from a deal if the other company or its subsidiaries announces a significant event that may negatively affect its stock price or operations. See also materiality.


Materials requirement planning

Materials requirement planning
Computer-based systems that plan backward from the production schedule to make purchases in order to manage inventory levels.


Raw material supply agreement

Raw material supply agreement
As used in connection with project financing, an agreement to furnish a specified amount per period of a specified raw material.




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