ENTREPRENEURIAL MIND M1 Flashcards
______ measures the value of all the assets of worth owned by a person, community, company, or country.
WEALTH
is determined by taking the totalmarket valueof all physical andintangible assetsowned, then subtracting all debts.
WEALTH
Essentially, _____ IS THE ACCUMULATION OF SCARCE RESOURCES.
WEALTH
Specific people, organizations, and nations are said to be _____ when they are able to accumulate many valuable resources or goods.
WEALTHY
can be expressed in a variety of ways. In a purely material sense, wealth consists of all the real resources under one’s control.
WEALTH
Financially,_________is the most common expression of wealth.
NET WORTH
is the price an asset would fetch in the marketplace, or the value that the investment community gives to a particular equity or business.
Market value (also known as OMV, or “open market valuation”)
For instance, if the R&D efforts of a pharmaceuticals company create anew drugthat passesclinical trials, the value of that development is not found in the______________.
financial statements
It doesn’t show up until sales are actually _____, which could be several years down the road.
made
is the value the assets a person or corporation owns, minus the liabilities they owe.
Net worth
It is an important metric to gauge a company’s health.
NET WORTH
Net worth is calculated by subtracting all liabilities from _____.
ASSETS
An _____ is anything owned and has monetary value, while liabilities are obligations that deplete resources.
ASSET
____________ means that assets exceed liabilities, while negative net worth results when liabilities exceed assets.
Positive net worth
Positive and increasing net worth indicates _____________
good financial health
while decreasing net worth is cause for concern as it might signal a decrease in __________________.
assets relative to liabilities
In business, ______ is also known as book value orshareholders’ equity.
NET WORTH
TYPES OF EMPLOYMENT IN THE PHILIPPINES
- REGULAR OR PERMANENT EMPLOYMENT
- TERM OR FIXED-TERM EMPLOYMENT
- PROJECT EMPLOYMENT
- SEASONAL EMPLOYMENT
- CASUAL EMPLOYMENT
is when an employee performs activities that are usually necessary or desirable in the usual business or trade of the employer.
Regular or Permanent Employment
They enjoy the benefit of security of tenure provided by the Philippine Constitution and cannot be terminated for causes other than those provided by law and only after due process is given to them.
Regular or Permanent Employment
is when the employee renders service for a definite period of time and the employment contract must be terminated after such period expires.
Term or Fixed-Term Employment
This type of employment is determined not by the activities that the employee is expected to perform but by the commencement and termination of the employment relationship.
Term or Fixed-Term Employment
is defined when an employee is hired for a specific project or undertaking and the employment duration is specified by the scope of work and/or length of the project.
Project Employment
A project employee may acquire the status of a regular employee when they are continuously rehired after the completion of the project or when the tasks, they perform are vital, necessary, and indispensable to the usual business or trade of the employer.
Project Employment
is when the work to be performed is only for a certain time or season of the year and the employment is only for that duration.
Seasonal Employment
This type is common practice to Retail, Food and Beverage, Hospitality and other related industries as augmentation to their workforce to cover for the demand during peak seasons.
Seasonal Employment
when an employee performs work that is not usually necessary or primarily related to the employer’s business or trade.
Casual Employment
The definite period of employment should be made known to the employee at the time they started rendering service.
Casual Employment
If the employee has rendered service for at least one (1) year in the same company, whether the __________ is continuous or not, they shall be considered a regular employee with respect to the activity they are employed and will continue rendering service while such activity exists.
Casual Employment
EMPLOYMENT ADVANTAGES
- Leave benefits
- Guaranteed Income
- Fixed-working hours
- Less responsibility
EMPLOYMENT DISADVANTAGES
- Limited Income
- Limited Development Scope
- Job Security
Types of Bank Deposits
- CurrentAccount/
Demand Deposit Account - Saving Accounts
- Call Deposit Accounts
- Certificates of Deposit/Time Deposit Accounts
is a basic checking account.
CurrentAccount/
Demand Deposit Account
Consumers deposit money and the deposited money can be withdrawn as the account holder desires on demand.
CurrentAccount/
Demand Deposit Account
These accounts often allow the account holder to withdraw funds using bank cards, checks or over-the-counter withdrawal slips.
CurrentAccount/
Demand Deposit Account
In some cases, banks charge monthly fees for ______, but they may waive the fee if the account holder meets other requirements such as setting up direct deposit or making a certain number of monthly transfers to a savings account.
CURRENT ACCOUNTS
offeraccount holders interest on their deposits.
Savings accounts
account holders may incur a monthly fee if they do not maintain a set balance or a certain number of deposits.
Savings accounts
are not linked to paper checks or cards like current accounts, their funds are relatively easy for account holders to access.
Savings accounts
Financial institutions refer to these accounts as interest-bearing checking accounts, Checking Plus or Advantage Accounts.
Call Deposit Accounts
These accounts combine the features of checking and savings accounts, allowing consumers to easily access their money but also earn interest on their deposits.
Call Deposit Accounts
Like a savings account, a_______is an investment vehicle for consumers.
Time Deposit Account
Also known as certificates of deposit (CD)
Time Deposit Account
tend to offer a higher rate of return than traditional savings accounts, but the money must stay in the account for a set period of time
Time Deposit Accounts
In other countries, __________ feature alternative names such as term deposits, fixed-term accounts, and savings bonds.
Time Deposit Accounts
A _____ (also known as equity) is a security that represents the ownershipof a fraction of acorporation.
STOCK
This entitles the owner of the stock to a proportion of the corporation’sassetsand profits equal to how much stock they own.
STOCKS
Units of _____ are called “shares.”
STOCKS
An______is someone who develops an enterprise around an innovation.
ENTREPRENEUR
They manage the business and assume the risk for its success.
ENTREPRENEUR
defined by the personal risk they take on in pursuit of a new business, innovation, or some other form of enterprise. In exchange for taking on that risk, they often profit most significantly from their enterprise’s success.
ENTREPRENEUR
Characteristics of a Successful Entrepreneur (9)
- Passion
- Independent thinking
- Optimism
- Confidence
- Resourceful and Problem-Solvers
- Tenacity and ability to overcome hardships
- Vision
- Focus
- Action-oriented
How to Become an Entrepreneur
- Focused development of entrepreneurial characteristics
- A great idea that people will pay money for
- A detailed plan for success
- Consistent execution and dedication to that plan
In modern society, ______ is the most common means of measuring wealth.
MONEY
Measuring wealth in terms of money is an example of__________ as a unit of account.
MONEY’S FUNCTION
_______ is a stock variable, as opposed to a flow variable like income.
WEALTH
________ can be thought of as a measure of income (a flow variable), though it is often erroneously referred to as a measure of wealth (a stock variable).
GROSS DOMESTIC PRODUCT
Any business professor will tell you that the value of companies has been shifting markedly from tangible assets—or “_____________” assets—to intangible assets, like intellectual capital.
BRICKS AND MORTAR
Lenders scrutinize a business’s net worth to determine if it is financially _________.
HEALTHY
_____________ or holidays, are the times available each year for the employee to have some time out and enjoy paid time when they are not working for their employer
LEAVE BENEFITS
They may take a holiday or choose to work on their personal relationships, hobbies, exercise, or simply rest.
LEAVE BENEFITS
These periods of holiday can give employees the chance to really take stock of their lives and refresh themselves.
LEAVE BENEFITS
Obviously, a huge advantage of employment vs entrepreneurship is ____________.
GUARANTEED INCOME
This fixed amount of money deposited on a weekly or monthly basis into bank accounts means financial security for the employee and their family.
GUARANTEED INCOME
Employers pay the employee for their services towards their organization. This pay often includes a range of allowances and benefits which may include, taxes, insurance, health insurance, provident funds and company shares.
GUARANTEED INCOME
Employees will often agree on ____________ that will be guaranteed and outlined in a contract between themselves and the organization that employs them.
FIXED WORKING HOURS
Overtime or extra hours available will be worked at the employee’s discretion and will not be compulsory.
FIXED WORKING HOURS
Hours exceeding that in the contract are called ‘_______’ and are often remunerated at a rate higher than the standard hours agreed when employment begins.
OVERTIME
Sometimes an agreement is set out between an employer and employee to receive lieu time in exchange for working hours that exceed that of their contract. Hours worked in lieu can be saved and exchanged for longer periods of holiday or extra days off work.
FIXED WORKING HOURS
In employment, you are often assigned a particular role and are only responsible for performing the tasks that are directly related to that role whilst you are working.
LESS RESPONSIBILITY
You don’t need to interfere or worry with how other people are performing across the company, as you will still receive your payment as long as you complete all the tasks that are expected and outlined for your individual role.
LESS RESPONSIBILITY
Employees have to follow their employer’s instructions and can become dependent on their monthly income as they buy things on finance and slip into debt.
DEPENDENCY
Employees with big families have added pressure and can feel a growing ___________ on their job as their family grows and expands.
DEPENDENCY
The income of an employee is often limited to their agreed salary or hourly rate, meaning that is capped and can’t be expanded without overtime or a pay rise.
LIMITED INCOME
_________ puts constraints on almost every part of life. Some employees may be incentivized with bonuses etc. However, they are often capped or limited until they change jobs or get a pay rise.
LIMITED INCOME
the constraints of employment within a specific industry or role can really minimize an individual’s scope for development.
LIMITED DEVELOPMENT SCOPE
Employees often have fewer choices for career progression and can only advance within a very specific industry.
LIMITED DEVELOPMENT SCOPE
In a competitive world, people are disposable.
JOB SECURITY
Jobs are not always guaranteed for life and employers can often sack employees without giving a solid reason.
JOB SECURITY
_______________ consist of money placed into banking institutions for safekeeping.
BANK DEPOSITS
The __________ has the right to withdraw deposited funds, as set forth in the terms and conditions governing the account agreement.
ACCOUNT HOLDER
These deposits are made to deposit accounts such as savings _____,________ AND ________.
SAVINGS ACCOUNT,
CHECKING ACCOUNTS, AND MONEY MARKET ACCOUNTS
The __________ itself is a liability owed by the bank to the depositor.
DEPOSIT
____________ are an important aspect of the economy.
ENTREPRENEURS
____________ have to overcome obstacles, including funding, employee, and organizational challenges as they pursue their goals.
ENTREPRENEURS
Talk to successful entrepreneurs and you’ll nearly always hear the word ______ when they describe what they do. Following your ______ is one of the best predictors of success.
PASSION
Entrepreneurs often think outside the box and aren’t swayed by others who might question their ideas.
INDEPENDENT THINKING
It’s difficult to succeed at anything if you don’t believe in a good outcome. Entrepreneurs are dreamers and believe their ideas are possible, even when they seem unattainable.
OPTIMISM
This is not to say entrepreneurs never have self-doubt, but they’re able to overcome it, and believe they can achieve their goal.
CONFIDENCE
Lack of assets, knowledge, and resources are common, but entrepreneurs can get what they need or figure out how to use what they’ve got to reach their business goals. They never let problems and challenges get in the way, and instead, they find ways to achieve success despite hardships.
RESOURCEFUL AND PROBLEM-SOLVERS
Entrepreneurs don’t quit at the first, second, or even hundredth obstacle. For them, failure is not an option, so they continue to work toward success, even when things go wrong.
TENACITY AND ABILITY TO OVERCOME HARDSHIP
Some of the more stringent definitions of entrepreneurship include _______ as a necessary element.
VISION
It helps to know your end goal when you start. Further, _______ is the fuel that propels you forward toward your goal.
VISION
Many start-ups get side-tracked by the “shiny object syndrome” (products and services that promise fast results), or they get bogged down in unimportant busywork. Successful entrepreneurs avoid these distractions and stay focused on what will bring results.
FOCUS
Entrepreneurs don’t expect something to come from nothing, and they don’t wait for things to happen. They are doers. They overcome challenges and avoid procrastination.
ACTION-ORIENTED
