microenterprise test 2 Flashcards
a person in the eyes of the law. the corporation is taxed for profits and is liable for any debts or judgments. corporations are owned by shareholders.
corporation
costs that make up one unit of what you sell. these could be labor costs as well as material costs.
cost of goods sold
a loss that an insurance company will reimburse a policyholder for in the event of a claim.
covered loss
funds lent to a business with an agreement that the business will repay the lender with interest.
credit (or debit)
a person or a business with a strong credit score and the financial resources that make it likely they will be able to repay any loan.
credit worthiness
an internment phenomenon where strangers learn about a business online and then decide whether or not to make an investment crowd funding investors are “typically fans” of an owner, but they expect a return an investment
crowd funding
the amount an insurance company makes a policyholder as part of any claim.
deductible
a failure to repay a loan.
default
the commitment to get something done
determination
distinguishing a product or service “different than anything else” attracting customers, generating sales and serving as the foundation for a thriving business.
differentiated offering
money paid by a customer to a person who owns stock in that company. dividends are optional- many companies do not pay dividends.
dividend
a clear, concise and competing way to describe a business or new business concept in 30 seconds, a differentiating vision to encourage potential investors or employees to learn more.
elevator speech
open ended questions that prompt more than a “yes” or “no” answer.
engaging question
funds contributed by investors to a business
equity (or capital)
understanding how individuals and business earn money and what they spend money on
financial literacy
12 month period a company uses to report financial results
fiscal year
costs that do not vary based on the units sold by the enterprise.
fixed costs
a computer portal offered by the louisiana secretary of state that enables entrepreneurs to go to a single source to learn which forms they need to file the forms required by the secratory of state
geaux biz portal
an individuals self- commitment to overcome obstacles to achieve long-term goals
grit
a credit worthy individual or business with sufficient liquidity that promises to repay a loan in the event that the debit holder cant make a required payment
guarantor
a special account where individuals can deposit retirement funds that can grow tax-differed until they withdraw them after they retire
individual retirement account (IRA)
debt owed to someone that is paid monthly
installment payment
amount an insurance policy holder receives from the insurance company to reimburse the policy holder for a covered loss
insurance claim
individual or business that purchases an insurance company for various types of protection
insurance policy holder
amount a policy pays for an insurance policy
insurance premium
non-physical assets created by individuals or companies that hold the exclusive legal right to communicate
intellectual property
give the author the side right to benefit economically from what his/her wrote
copyright
gives the inventor the sole right to benefit commercially from his/her invention
patent
gives the registering individual or company the sole right to benefit from a brand or image he/she created
trademark
the federal agency that collects federal taxes and performs audits
internal revenue service (IRS)
merchandise that a company sells to customers
inventory
legal decision requiring a person or company to pay another person or company
judgement
obligation you have to pay someone else money. also called debt or loan
liability
