FABM

Question 1

shows the business’s assets, liabilities, and equity as of the reoprt date

Answer 1

Statement of Financial Position

Question 2

refer to the financial statements compiled by accountants for the company’s annual reports

Answer 2

Financial Reports

Question 3

reports the business’s revenues, expenses, gains, and losses for the reporting period

Answer 3

Statement of Income and Expenses / Statement of Comprehensive Income

Question 4

present the changes in the owner’s capital or shareholder’s equity during the accounting period. It shows changes caused by net income, dividends, sales and purchases of stocks.

Answer 4

Statement of Changes in Equity

Question 5

exhibits the summary of the inflow and outflow of cash and cash equivalents during the reporting period

Answer 5

Statement of Cash Flows

Question 6

presents additional information and explanation about the business’s financial statements. It explains the resulting numbers and figures like depreciation and valuation of assets and includes significant accounting policies

Answer 6

Notes to Financial Statements

Question 7

assesses the company’s profitability and liquidity every month in order to make more efficient operating and financing decisions.

Answer 7

Management Team

Question 8

evaluate companies’ financial performance in order to decide which securities to recommend to their clients

Answer 8

Investment Analysis

Question 9

gauge the ability of the company to compensate its employees and give the benefits to union members

Answer 9

employees and unions

Question 10

measure borrower’s capability to pay back the loan and all additional charges and interest

Answer 10

lenders

Question 11

examine if the company is capable to pay the items they are ordering

Answer 11

suppliers

Question 12

select a supplier that will be able to remain in business in the long run

Answer 12

customers

Question 13

evaluate each other’s financial condition and adjust competitive strategies accordingly

Answer 13

Competitors

Question 14

statement of financial position is previously called the _____

Answer 14

balance sheet

Question 15

Accounting Equation for Statement of Financial Position

Answer 15

Assets = Liabilities + (Owner’s Equity - Dividends + Revenue -Expenses)

Question 16

increase when debited and decreased when credited

Answer 16

debits

Question 17

increase when credited and decrease when debited

Answer 17

credits

Question 18

an economic resource presently held by the company. This is a right acquired by the company from past transactions to produce economic benefits

Answer 18

assets

Question 19

the asset is cash or cash equivalent and is not restricted from being used for at least twelve months after the reporting period

Answer 19

current asset

Question 20

includes coins, currency, checks, money orders, bank deposits, and drafts

Answer 20

Cash

Question 21

short-term instruments that are readily convertible to cash

Answer 21

Cash Equivalents

Question 22

promises to pay a certain amount of money on a certain date written by customers

Answer 22

notes receivable

Question 23

claims against customers for their purchases that are made on credit. less secured than promissory note

Answer 23

accounts receivable

Question 24

raw materials, supplies, goods placed in process, and finished goods available for sale

Answer 24

inventories

Question 25

future expenses like rent and insurance that are paid in advance

Answer 25

Prepaid expenses

Question 26

resources with useful lives of more than twelve months that can be used to benefit the company beyond the current period

Answer 26

Noncurrent asset

Question 27

tangible assets used in operating and administrative purposes. these include land, building, vehicles, machinery, equipment, furniture and fixtures that are expected to be used for more than one period

Answer 27

property, plant, and equipment

Question 28

the sum of the periodic depreciation charges. this is deducted from the cost of the related asset to get its book value

Answer 28

accumulated depreciation

Question 29

assets held "for the accretion of wealth through capital distribution, such as interest, royalties, dividends and rentals, for capital appreciation, etc.

Answer 29

long-term investments

Question 30

nonmonetary assets that are identifiable because they do not have physical bodies. (patent, franchise, copyright, trademark)

Answer 30

intangible assets

Question 31

exist when one party has an obligation to transfer an economic resource or give economic benefits to another party

Answer 31

liability

Question 32

a duty or a responsibility to do or not to do something. this could be the result of a contract, agreement, legislation, policy, practice.

Answer 32

obligation

Question 33

claims against the company for purchases made on credit

Answer 33

accounts payable

Question 34

promises to pay a certain amount of money on a certain date written on behalf of the company (promissory note)

Answer 34

notes payable

Question 35

past expenses that are not yet paid. this include salaries payable, utilities payable, interest payable, and taxes payable

Answer 35

accrued liabilities

Question 36

amounts received from the customer for goods or services not yet delivered

Answer 36

unearned revenues/income

Question 37

parts of mortgage, bonds, and other long-term debts that are due within twelve months after reporting period

Answer 37

current portion of long-term debt

Question 38

records long-term debts that are secured with pledged or mortgaged assets

Answer 38

mortgage payable

Question 39

obtained borrowing money through issuing bonds to lenders

Answer 39

bonds payable

Question 40

also called capital, the difference when the total amount of liabilities is deducted from the total amount of assets

Answer 40

equity

Question 41

used under a partnership where there is an equity account for each partner

Answer 41

partner's equity

Question 42

used for corporation, brought in by ordinary shares, preferences shares, treasury shares, share premiums, and retained earnings

Answer 42

stockholder's / shareholder's equity

Question 43

came from the Latin term capitalis which means property, includes the owner's investments to the company

Answer 43

capital

Question 44

happen when owners pull out their investments

Answer 44

withdrawals

Question 45

a temporary account made for closing the income and expenses accounts at the end of accounting period

Answer 45

income summary

Question 46

stock or shares thy have voting rights

Answer 46

common stock/ordinary shares

Question 47

the sum of all paid-in capital in excess or par value from ordinary shares

Answer 47

share premium

Question 48

stocks or shares that receive dividends and have higher priority claims to assests

Answer 48

preferred stock or preference shares

Question 49

the amount of net income in excess of distributions

Answer 49

retained earnings

Question 50

shares that are bought back by the company, a contra equity acc

Answer 50

treasury shares

Question 51

are states of felt deprivation. It is a motivating force that compels action for its satisfaction

Answer 51

needs

Question 52

are considered as customers' unfulfilled desires. Wants are "the form human needs take as they are shaped by culture and individual personality" (Kotler and Armstrong, 2016)

Answer 52

wants

Question 53

defined in business as the desire for a certain good or service supported by the capacity to purchase it

Answer 53

demands

Question 54

defined in business as the desire for a certain good or service supported by the capacity to purchase it

Answer 54

C Management ustomer relationship management (CRM) i

Question 55

Finding success in CRM is tough and demanding. Just like human relationships, customer relations require mutual understanding, respect, and trust. Failure to maintain this level of commitment between parties could end up with a broken bond. Agenda

Answer 55

customer value

Question 56

"the extent to which I product's perceived performance matches a buyer's expectation" (Kotler and Armstrong' 201).

Answer 56

customer satisfaction

Question 57

Make them feel special and valued through genuine interactions (e.g., Remembering customers' names and birthdays). * Train employees to provide extraordinary service (e.g., Smiling and helping customers at all times). * Offer a business hotline for customer queries and concerns.

Answer 57

Provide exceptional customer service

Question 58

Address complaints and suggestions as soon as possible.

Answer 58

Respond to complaints

Question 59

Be resilient in acquiring and maintaining customers. Cross-sell to an existing customer to increase their purchases and ans satisfaction levels.

Answer 59

be consistent

Question 60

Offer freebies, rewards, premiums and gifts (e.g., Banks offer gifts such as planners, umbrellas, and pens

Answer 60

Show appreciation to customers

Question 61

Offer loyalty membership programs for customers to earn rewards for constant purchases.

Answer 61

create loyal programs

Question 62

Ask customers for feedback, whether positive or negative. Conduct short surveys to gather responses

Answer 62

Distribute guest satisfaction questionnaires and surveys

Question 63

occurs when a customer is committed to consistently purchase products from the same company which is a resul of a continuous satisfaction.

Answer 63

customer loyalty

Question 64

occurs when a customer is committed to consistently purchase products from the same company which is a resul of a continuous satisfaction.

Answer 64

customer loyalty

Question 65

involves all activities that can satisfy customers by providing assistance and excellent service before, during, and after a marketing exchange.

Answer 65

customer service

Question 66

which is "the value of the entire stream of purchases a customer makes over a lifetime of patronage

Answer 66

customer's lifetime values

Question 67

is the process of effectively and efficiently planning, implementing, evaluating the marketing activities and strategies of a firm.

Answer 67

Strategic marketing management

Question 68

the process of establishing a mission statement, scanning the market environment, formulating organizational goals, and developing strategies.

Answer 68

strategic planning

Question 69

must answer what an organization is all about, why it exists, and what value it intends to offer.

Answer 69

mission statement

Question 70

the evaluation of the ongoing competition in a marketplace.

Answer 70

competition analysis

Question 71

defined as the plan of action to accomplish a firm's marketing goals and objectives

Answer 71

marketing strategy

Question 72

selling other existing products to existing customers

Answer 72

market penetration

Question 73

offering new products to existing customers

Answer 73

product development

Question 74

selling existing products to new customers

Answer 74

market development

Question 75

offering new products to attract new customers. These opportunities are also known as "marketing growth strategies.

Answer 75

diversification

Question 76

a contractual agreement where the franchisor grants a franchisee the right to use its brand name, marketing campaigns, and even operations support

Answer 76

franchising

Question 77

is the execution of marketing strategies by the marketing department.

Answer 77

marketing implementation

Question 78

is concerned with controlling and monitoring the implementation of these strategies.

Answer 78

marketing control

Question 79

consists of factors close to the company that affects its ability to serve its customers.

Answer 79

micro-event

Question 80

shape the opportunities and threats that affect a company's operations

Answer 80

macro-eenvironment