Test 1 Flashcards
Money owed by a company to a supplier, accounts payable for my company meaning that I owe it to someone.
Accounts Payable
money owed by a company, this means someone owes your company
Accounts receivable
individuals that make small investments in an enterprise or to support an entrepreneur where they do not expect an immediate or large return on the investment.
Angel Investors
Something of value, anything owned
Assets
Debt from a bank, bank loans are less expensive than online lies of credit.
Bank Loan
a loan. investors buy and sell bonds that represents a legal obligation from the company issuing the bond they will repay the funds they received when they issued the bonds.
Bond
a determination of how many units are needed to sell in order to pay for all fixed costs.
Breakeven analysis
a company that provides individuals and companies with access to financial markets
Brokerage
proper business behavior beyond complying with legal requirements
Business Ethics
funds contributed by investors to a business. The contribute because they expect a significant return on their investments when the business succeeds
Capital (equity)
expenditures on equipment the business will use for many years
Capital expenditures
total revenue minus total cost minus one-time expenditures
Cash flow
cash, publicly traded stocks, govt. bonds or corporate bonds that can be quickly turned into cash
Cash instruments
equipment, inventory, or other goods that are pledged to the bank in the case the company cannot make the loan payment.
Collateral
the ability to interact in a friendly and effective way with unfamiliar people.
Comfort engaging with strangers
money earned when something is sold
Commission
a promise to keep information you learn secret
Confidentiality
a situation in which an individual might take an action to his/her advantage that would be the disadvantage of a person or company that believes this individual is serving them.
Conflict of interest
unit price minus cost of goods sold
Contribution Margin
actions entrepreneurs and companies take that go beyond their financial self-interest.
Corporate Social Responsibility
a corporation is a person in the eyes of the law the corporation is taxed for profits and is liable for any debts or judgements
Corporation
costs that make up one unit of what you sell. These can be labor costs as well as material costs.
Costs of goods sold
a loss that an insurance company will reimburse a policy holder 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 Debt)
