Finance Flashcards
Start-up capital
Starting a business without borrowing money
Short term needs
Raw materials
Probability
the excess of revenue or income over expenses or cost
Internal sources of finance
internal finance refers to funds generated from inside the business
Budgeting
quantitative planning through which managers decide how to allocate available money to best accomplish company goals
Real estate
property consisting of land or buildings
Bonds
type of investment in which you lend or loan money to a company, government, or organization for a specific period of time at a specific interest rate
Cash flow
The flow of money in and out of a business
Overheads
Money spent that keeps a business operating
Cash inflow
Flow of money into a business
Cash outflow
Flow of money out of a business
Insolvent
Inability to meet debts
Drawings:
Money taken out of a business by the owner