what is accretion

11 months ago 22
Nature

Accretion is a term used in different fields, including astrophysics, finance, and accounting. Here are the definitions of accretion based on the search results:

In astrophysics, accretion is the accumulation of particles into a massive object by gravitationally attracting more matter, typically gaseous matter, into an accretion disk. Most astronomical objects, such as galaxies, stars, and planets, are formed by accretion processes).

In finance, accretion refers to the gradual and incremental growth of assets and earnings due to business expansion, a companys internal growth, or a merger or acquisition. It is also the accumulation of additional income an investor expects to receive after purchasing a bond at a discount and holding it until maturity. The accretion rate is determined by dividing a bonds discount by the number of years in its term to maturity.

In general, accretion means a gradual increase in the amount, level, or value of something. It can refer to the growth in size or extent of something by natural growth or by gradual external addition.

In astrophysics, accretion disks are common around smaller stars, stellar remnants in a close binary, or black holes surrounded by material (such as those at the centers of galaxies) ). In finance, accretion can occur by acquiring assets that are anticipated to grow in value after the transaction.