Courier Services Glossary Michigan

The following information was sourced from USPS.

Delivery Confirmation
A special service that provides the date of delivery or attempted delivery for Priority Mail and Standard Mail parcels, Bound Printed Matter and Library Mail.

Depreciate
To periodically reduce the estimated value of an asset over the course of its useful life.

Direct Mail
A form of advertising often employed by businesses to reach targeted groups of potential customers by mail.

Equity
The difference between the value of all assets less all liabilities.

Express Mail
The Postal Service’s premium delivery service, providing guaranteed overnight delivery for documents and packages weighing up to 70 pounds. Both domestic and international services are offered.

First-Class Mail
A class of mail including letters, postcards and all matter sealed or otherwise closed against inspection. This service is required for personal correspondence, handwritten or typewritten letters and bills or statements of account.

Fiscal Year
As used in the financial section of this report, the Postal Service fiscal year, which is the 12-month period during which the Postal Service keeps accounts, beginning Oct. 1 and closing Sept. 30.

Fixed Asset
Any tangible property such as buildings, machinery and equipment, furniture, and leasehold improvements.

Government Accountability Office (GAO)
Investigative arm of legislative branch of federal government (Congress).

Generally Accepted Accounting Principles (GAAP)
The rules and procedures of accepted accounting practice as defined by the Financial Accounting Standards Board.

Impaired Asset
When the market value of an economic resource has been permanently lowered below the recorded value of the asset.

Inspector General
The Inspector General is appointed by and reports directly to the Governors of the Postal Service and is independent of postal management. The Office of Inspector General (OIG) primarily investigates and evaluates programs and operations of the Postal Service to ensure the efficiency and integrity of the postal system.

Leasehold
An asset that gives the Postal Service the right to use property under a lease.

Liability
Any debt or obligation which is owed by the Postal Service at some future period of time.

Operating Expense
Expenses that are incurred in providing our primary business services and products.

Operating Margin
A financial indication calculated by dividing income from operations by operating revenue.

Operating Revenue
Revenues that are earned from our primary business services and products.

Package Services
Mailing category offered for any merchandise or printed matter weighing up to 70 pounds. These services include Parcel Post, Bound Printed Matter, Library Mail and Media Mail.

Payable
Money that is owed by the Postal Service.

Periodicals
A class of mail formerly called second-class mail that consists of magazines, newspapers and other publications.

Postal Inspection Service
The investigative arm of the Postal Service responsible for investigating criminal acts involving the mails and misuse of the postal system.

Postal Rate Commission (PRC)
An independent federal agency that makes recommendations concerning Postal Service requests for changes in postal rates and mail classifications.

Prepaid
Payments made in advance of service being provided.

Present Value
The value today of a future payment that is discounted at a stated rate of compound interest. For example, the present value of $100 that will be paid to the Postal Service 10 years from now is about $38.55, if we discount that $100 at a rate equal to 10% interest compounded annually.

Priority Mail
Priority mail is a 1-3-day non-guaranteed delivery service.

Receivable
Money that is owed to the Postal Service.

Recognize
To record in Postal Service accounts as income or expense.

Special Services
A category of services that add value to mail by providing added security, proof of delivery or loss recovery. These services include: Certified Mail, Registered Mail, Delivery Confirmation, Signature Confirmation and insurance up to $1,000.

Standard Mail
Mailing service offered for any item, including advertisements and merchandise weighing less than 16 ounces that are not required to be sent using First-Class Mail. Standard Mail is typically used for multiple delivery addresses and bulk advertising.

U.S. Mail
Any mailable matter that is accepted for mail processing and delivery by the Postal Service.

Universal Service
The Postal Service’s mandate and commitment to the nation to provide mail delivery service at uniform and reasonable rates to everyone, everywhere.