Session 4 Flashcards
Accrual Accounting
- An accounting method that enters income and expenses into the books at the time of contract versus when payment is received or expenses incurred (cash accounting). 2. A system in which revenue and expenses are accounted for as soon as they are committed.
Balance Sheet
A financial status at a given time (includes liabilities, assets, etc.).
Cash Accounting
A system in which revenue and expenses are counted as they are actually received.
Cash Flow Statements
In financial accounting, a cash flow statement, also known as statement of cash flows, is a financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, and breaks the analysis down to operating, investing and financing activities.
Financial Management
The efficient and effective management of money (funds) in such a manner as to accomplish the objectives of the organization.
Fixed Costs (FC)
Expense incurred regardless of the number of event attendees.
Hosted Buyer
Offers complimentary travel, accommodation and registration for pre-qualified buyers to attend an exhibit. Typically there will be an expectation on the part of the hosted buyers that they participate in a predetermined number of appointments with the exhibitors.
Incremental Budgeting
A budget created by using past budget data or actual performance as a foundation and making incremental changes as necessary for the new budget period.
Indirect Costs
Also called overhead or administrative costs, these are expenses not directly related to the event. The can include salaries, rent, building and equipment maintenance, etc.
Subvention
An amount of money that is given to a person or group by a government or organization.
Value Added Tax (VAT)
A tax that is added to a product at each step of the manufacturing and marketing process reflecting value which has been added to the product by processing.
Variable Costs
Expenses that vary based upon various factors such as the number of attendees.
