test 2 Flashcards
a person in the eyes of the law
corporation
cost that make up one unit of what you sell
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 intrest
credit or debt
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 internet phanoemenon , where strangers learn about a business online and then decide if you qualify for an investment . Typically “fans” of an owner, but do expect a return on investment .
crowdfunding
the amount an insurance company makes a policyholder pay as a part of any claim
deductible
failure to repay a loan
default
the commitment to get something done
determination
distinguishing a product or service
differentiated
money paid by a company to a person who owns stock in that company
Dividend
A clear, concise and compelling way to desire a business or new business concept in 30 seconds
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 businesses earn money and what they spend it on
Financial literacy
the 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
commitment to overcome obstacles to achieve long term goals
Grit-self
a credit worthy individual or business with sufficient equity that promises to repay a loan in the event that the debtholder cant make a required payment
Guarantor
Account where individuals can deposit retirement funds that can grow tax-defered until they withdraw them after they retire
individual retirement
debt owed to someone that is paid monthly
installment payment
the amount an insurance policyholder recieves from the insurance company to reimburse the policy holder for a covered loss
insurance claim
individual or business that purchases an insurance policy for various types of protection
insurance policyholder
the amount a policyholder pays for an insurance policy
insurance premium
non physical assests created by indivduals or companies that hold the exclusive legal right to commercialize
intellectual property
give the author the sole right to benifit economically from what he/she wrote
copyright
gives the inventor sole right to benifit commercially from his/her invention
patent
gives registering individual or company the sole right to benefit from a brand or image he/she created
trademark
federal agency that collects federal taxes and performs adults
internal revenue service
merchandise that a company sells to a 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
