Second Half

Question 1

31. Bank

Answer 1

A financial institution licensed as a receiver of deposits.

There are two types of banks: commercial/retail banks and investment banks.

In most countries, banks are regulated by the national government or central bank

Question 2

32. Credit Union

Answer 2

Not-for-profit organizations that exist to serve their members rather than to maximize corporate profits.

Like banks, credit unions accept deposits, make loans, and provide a wide array of other financial services. But as member-owned institutions, credit unions focus on providing a safe place to save and borrow at reasonable rates. Unlike banks, credit unions return surplus income to their members in the form of dividends.

Question 3

33. Angel investment

Answer 3

An investor who provides financial backing for small startups or entrepreneurs.

The capital they provide can be a one-time injection of seed money or ongoing support to carry the company through difficult times.

Question 4

34. Venture Capital

Answer 4

Money provided by investors to startup firms and small businesses with perceived long-term growth potential.

This is a very important source of funding for startups that do not have access to capital markets. It typically entails high risk for the investor, but it has the potential for above-average returns.

Question 5

35. Grants

Answer 5

Bounty, contribution, gift, or subsidy (in cash or kind) bestowed by a government or other organization (called the grantor) for specified purposes to an eligible recipient (called the grantee).

Grants are usually conditional upon certain qualifications as to the use, maintenance of specified standards, or a proportional contribution by the grantee or other grantor(s).

Question 6

36. Equity Investment

Answer 6

Money that is invested in a firm by its owner(s) or holder(s) of common stock (ordinary shares) but which is not returned in the normal course of the business.

Investors recover it only when they sell their shareholdings to other investors, or when the assets of the firm are liquidated and proceeds distributed among them after satisfying the firm’s obligations. Also called equity contribution.

Question 7

37. Finance vs. accounting

Answer 7

Accounting focuses on the development of accurate financial statements such as income statements, statement of cash flow, and balance sheets. Organizations will use accounting to keep track of money and to understand the performance of a business. Those who are likely to benefit from accounting activities are managers and tax officials who want a clear understanding of the financial make up of a business.

Finance on the other hand is a more inclusive term that deals with aspects of money such as the management and control of assets, the study of money (micro- and macro- economic), risk management, and analysis of investments. Managerial finance is a term to describe how a company will utilize financial information of their firm to forecast future performance and to ensure that the company is managing its money well.

Question 8

38. Financial audiences: internal, sources, tax man

Answer 8

Financial audiences are different people with differing needs regarding financial information. This is important to entrepreneurs and innovators because the message and tools needed to communicate will differ.

Question 9

39. 4 P’s

Answer 9

Produce, Price, Place, Promotion

This is the classic Marketing Mix representing key decisions to be made to pursue a particular Target market.

Question 10

40. Value Proposition

Answer 10

A business or marketing statement that summarizes why a consumer should buy a product or use a service. This statement should convince a potential consumer that one particular product or service will add more value or better solve a problem than other similar offerings.

Question 11

41. Target market

Answer 11

A specific group of consumers at which a company aims its products and services

Question 12

42. Demographics

Answer 12

Studies of a population based on factors such as age, race, sex, economic status, level of education, income level and employment, among others. Demographics are used by governments, corporations and non-government organizations to learn more about a population’s characteristics for many purposes, including policy development and economic market research.

Question 13

43. Legal

Answer 13

This is a function of a venture that deals with the law. Often, expertise is outsourced to a lawyer.

Question 14

44. Risk Management

Answer 14

Decisions to accept exposure or reduce vulnerabilities by either mitigating the risks or applying cost effective controls.

Question 15

45. Hiring/Firing

Answer 15

Hiring is a process by which you identify candidates, screen them and then bring them on as employees.

Firing is the process used to separate an employee from employment.

Question 16

46. Training and Development

Answer 16

Training is preparing and improving an employee’s ability to do their current job and development is preparing them to do a different job (perhaps the next level up or over).

Question 17

47. Outsourcing

Answer 17

The practice of having certain job functions done outside a company instead of having an in-house department or employee handle them; functions can be outsourced to either a company or an individual.

Question 18

48. Self-Leadership

Answer 18

Providing leadership (direction and movement) for yourself.

Question 19

49. True North

Answer 19

True North is a core direction that seems to keep you on course over time.

Question 20

50. Self Development Skills

Answer 20

Behaviors related to the effective and efficient improvement of self. Effectiveness relates to successfully choosing priority areas and making improvements.

Question 21

51. Major Definite Purpose

Answer 21

Major Definite Purpose is what you identify as your major focus and purpose for a time period on this path.

Question 22

52. Leadership (Dir + Mvt)

Answer 22

We define leadership as facilitating direction setting and facilitating movement in that direction.

Question 23

53. Team performance process

Answer 23

Forming, Storming, Norming, Performing and Transforming. This is a model that shows the different stages a team goes through as it develops and moves toward high performance.

Question 24

54. Team Work Skills

Answer 24

These are skills needed to successfully participate on a team. Behaviors related to the effective and efficient use of time in order to enhance performance. There are many of these and you should know that you will be developing them along the way including: Listening, questioning, persuading, respecting, helping, sharing, and participating.

Question 25

55. Diversity

Answer 25

When referring to people, it is how we are different. This could be how we appear, what we believe, our experiences, our heritage, our economics, our personality and more and more and more.

Question 26

56. Problem Solving Skills

Answer 26

Skills related to the effective execution of change. Effective relates to choosing activities wisely that ultimately lead to desired change.

Question 27

57. Ethical Decision Making Skills

Answer 27

Skills related to including ethical concepts and criteria into the decision making process and resulting actions at the personal, team and organizational levels.

Question 28

58. Communication Skills

Answer 28

Behaviors that effectively create appropriate communication cycles. Communication cycles are established when a message is conveyed from the sender to receiver and confirmation is received (i.e. it has gone full loop). Effectiveness relates to the successful and appropriate design, establishment and usage of the communication cycles.

Question 29

59. Time Management

Answer 29

Behaviors related to the effective use of time in order to enhance performance. Effectiveness involves choosing wisely among tasks in order to reach desired outcomes

Question 30

60. Professional Etiquette Skills

Answer 30

Effectively using the proper behavior regarding professional practice or action among members of a profession when interacting with one another. Following conventional requirements as to social behavior and conduct as established for any occasion.