Ch 1 Definitions Flashcards
Glossary of terms used in chapter 1
Define balanced scorecard
A performance measurement approach that use both financial and non- financial measures to evaluate a company’s operations in an objective way.
Define ABC
A method if allocating overhead based on each products use of activities
Board of directors
Elected by shareholders. Formulate operating policies , select officers, and otherwise manage the company.
Chief executive officer CEO
Has overall responsibility for managing the business. They delegate parts of that responsibility to other officers.
Chief financial officer.
Officer who is responsible for all of a company’s accounting and finance.
Controller
The financial officer responsible for the company’s accounting records , systems of internal controls, and preparation of financial statements, tax returns, and internal reports
ERP Enterprise Resource Planning
software that provides a comprehensive, centralized, integrated source of information that is used to manage all major business processes
JIT Just in Time Inventory
an inventory system in which goods are manufactured or purchased just in time for use
Line Positions
jobs that are directly involved in a company’s main revenue0generating operating activities
Managerial Accounting
a field of accounting that provides economic and financial information for managers and other internal users
Staff Positions
jobs that support the efforts of line employees
Supply Chain
all activities from the receipt of an order to the delivery of a product or service
Theory of Constraints
the practice of identifying constraints that impede a company’s ability to provide a good or service and dealing with the constraints to maximize profitability
TQM Total Quality Management
systems implemented to reduce defects in finished products with the goal of achieving zero defects
Treasurer
The financial officer who is responsible for the custody of a company`s funds and for maintaining its cash position
