Definition, examples, what MM means, and what does M stand for.

Financial Accounting Theory explains why transactions are reported in certain ways.The units of figures presented are in millions.The Latin number is thousands.MM is the same as writing "M multiplied by M", which is one million.Alternative symbols that are used in practice will be explored in this guide.

The Latin numeral MM is used to indicate that the units used in presenting information are in millions.The figure shown in the example is millions.

Net incomeNet Income is a key line item, not only in the income statement, but in all three core financial statements.While it is arrived at through and preferred dividends are labeled as being millions of dollars, shares are authorized.An individual who owns stock in a company is called a shareholder and is able to claim part of the company's residual assets and earnings.The terms stock, shares, and equity are used in different ways.The earnings per share is a key metric used to determine the common shareholder's portion of the profit.Each common share's profit is labeled as $/share.

We chose a piece of analysis that contained different units, such as dollars and shares.Adding a "units" column to each item will make it easy to reference when presenting different types of units.

For example, accountants will write a note at the top of the income statement saying, "All figures are expressed in millions of U.S. dollars."

The use of two m's to indicate millions is not as common as it used to be.In finance and accounting settings, an analyst will use k to thousands and M to millions.

Billions of dollars are written every day. Latin-mmm-modern-kMB

There is not a consistent approach to labeling units.To avoid any potential confusion, the least ambiguous approach is to simply write them out in words.