Part 9 - Test 1255 Flashcards
Financial analysis
Planning, maintaining, controlling, reporting the use of financial resources
Collective bargaining process
1, 2, 3, 4
1) Researching issues, 2) conducting negotiations, 3) voting on tentative agreement, 4) settling the contract
Settling the contract
When both sides have signed the contract and validate it
EDGAR
Electronic Data Gathering Analysis and Retrieval system
Submit documents to SEC
ESOP
Employee Stocks Ownership Program
Segment profitability decision
Deciding if it is more profitable to keep or drop a segment of the business
Variance analysis
Variance between systematic and random factors
Horizontal analysis
Compare multiple periods of a company to identify trends
Vertical analysis
Compare financial info at a certain time, like taking a snapshot, internal
3 types of financial activities
Financing, investing, operating
1) Financing
Cash generated/used for raising capital or paying debts
2) Investing
Cash generated/used from investments (e.g. buying and selling assets)
3) Operating
Cash generated/used from day-to-day activities
3 types of financial statements
Income, balance, cash flow
Income
Profitability (earning or losing)
Balance
Company’s ability to cover debts with assets
Cash flow
Liquidity of a company, 3 types of financial activities, whether able or not to stay operational
Rule induction
Data mining technique: summarizing trends from patterns
Accural accounting
Considering accounts payable and receivable
Accountable
Overseeing or managing sth, sb
Profit sharing
Incentives for employees in working harder
Risk Management Information System (RMIS)
Database used to store and analyze data; identify, assess, and manage risks
Risk map
Tool used to identify risk
y-axis = likelihood, x-axis = impact
Property exposure
Property related losses, must be property itself
Liability (in context)
Claims info, exposure bases, liability insurance details
Catastrophe modeling
Estimates potential losses from disasters, usually do not have specific info assigned
Exposure
Potential risk that a comp might face
Payroll
Total amounts of wages, salaries, and benefits a comp gives to employees
