Rack stuffer
Promotional material which fills hotel brochure shelves or racks.

Rating
An assessment of the credit worthiness of the individuals, corporations or countries; the ability to pay back a loan. It affects the interest applied to loans. Credit rating is determined using sophisticated mathematical and statistical methods. For investors considering buying debt securities, a credit rating is an essential tool.

Real estate tax
A tax assessed on real estate by the local government, based on the value of the property.

Real estate transfer tax
State taxes levied on the sale or transfer of real property located in the state.

Real property
Includes land and anything that is attached to the land, such as trees and buildings. Also called real estate.

Recognition criteria
List of criteria that entail a recognition of an asset or liability in the statement of final position.

REIT
Real Estate Investment Trust. Started in the USA, a REIT is an investment vehicle that takes the form of real estate mutual fund permitting small investors to participate in large, professionally managed real estate projects.

Replacement investment
An investment in new machinery and equipment that simply replaces an asset in use.

Reporting date
The end of the latest period covered by financial statements or by an interim financial report.

Research and development (R&E)
The process of developing new products or processes that may or may not result in commercially viable items.

Reservation of title
A clause in the contract reserving transfer of title to the purchaser until the asset has been fully paid for.

Retention (of earnings)
Earnings not paid out as dividends but instead reinvested in the business or used to pay off debt.

Return on equity(ROE)
The rate of return that indicates how well money invested in a corporation by shareholders is being used. The percentage is the result of dividing net income by ordinary share capital.

Revenue
The gross inflow of economic benefits during the period arising in the course of the ordinary activities of an entity when those inflows result in increases in equity, other than increases relating to contributions from equity participants.

Reversal of hidden reserves
Hidden reserves are resources of a business which are not reported as assets in the statement of financial position, such as land or building listed at a value lower than its market value.

Reversal of provisions
Provisions are liabilities having uncertain timing or amount. Under certain circumstances a provision can be accrued when the exact amount of the expense is still unknown. Examples include a provision for federal income taxes or for environmental costs.

RevPar
Revenue per available room.

RFP
Request for proposal, which seeks external support for services such as public relations or marketing.

Risk allowance
Acontingency sum that is set aside to fund the cost of construction variations.

Risk management
A process used by project teams to reduce the impact of risks on the outcomes of a project, through the formal identification, appraisal and management of potential risk events throughout the life of the project.

Royalty
A payment made to the holder of a patent, copyright, franchise, trademark, or natural resource for the right to use their property.