Test 2 ch4&17 Flashcards
accounting
the recording classifying, summarizing, and interpreting of financial events and transactions to provide management and other interested parties the information they need to make good decisions.
account cycle
a six step procedure that results in the preperation
accounts payable
current liabilities involving many owed to others for merchandise or services purchased on credit but not yet paid for.
annual report
a yearly statement of the financial condition, progress, and expectation of an organization
assets
economic resources owned by the firm
auditing
the job of reviewing and evaluating the information used to prepare a companies financial statements
balance sheet
financial statement that reports a firms financial condition at a specific time and is composed of three major accounts: assets, liabilities, and owners’ equity.
bonds payable
long-term liabilities that represent money lent to the firm that must be paid back
bookkeeping
the recording of business transactions
cash flow
the difference between cash coming in and cash going out of a business.
CPA
certified public accountant
cost of goods sold
a measure of the cost of merchandise sold or cost of raw materials and supplies, used for producing items for resale
current assets
items that can or will be converted into cash within one year
depreciation
the systematic write off of the cost of a tangible asset over its estimated useful life
double entry bookkeeping
the practice of writing every business transaction into two places
financial accounting
accounting information and analyzes prepared for people outside of the organization
financial statement
a summary of the transactions that have occurred over a particular period
fixed assets
assets that are relatively permanent such as buildings and equipment
fundamental accounting equation
assets=liabilities + owners equity
government and not for profit accouting
accounting system for organizations whose purpose is mot generating a profit but serving ratepayers, taxpayers, and others according to an approved budget
gross profit
how much a firm earned by making and selling merchandise
income statement
the financial statement that shows a firms profit after costs, expenses, and taxes: it summarizes all of the resources that have come into the firm, expenses and resulting net income or net loss
independent auditing
evaluation and unbiased opinion about the accuracy of a company’s financial statements
intangible assets
long term assets that have no real physical form but do have value
journal
record books or computer program where accounting data is entered
ledger
specialized accounting book or computer program in which information from accounting journals is accumulated int specific categories and posted so the managers can find all the information about one account in one place.
liabilities
what the business owes to others
liquidity
the ease with which an asset can be turned into cash
managerial accounting
accounting used to provide information and analyses to managers wihtin the organization to assist them in a decision making process
net income/loss
revenue left over after all costs and expenses are paid
notes payable
short term or long term liabilities that a business promises to re pay by a certain date
operating expenses
costs involved in operating a business such as rent, utilities, salaries
owners equity
the amount of the business that belongs to the owners minus any liabilities owed by the business
private accountant
an accountant who provides accounting services to for a single firm, government agency, or nonprofit organization
public accountant
an accountant who provides accounting services to individuals or businesses on a fee basis
ratio analysis
the assessment of a firm’s financial condition using calculations and interpretations of financial rations developed from the firm’s financial settlements.
retained earnings
the accumulated earnings from a firms profitable operations that were reinvested in the business and not paid out to stockholders, in dividends
statement of cash flows
financial statement that reports cash receipts and disbursements related to a firms major three activities: operations, investments, financially
tax accountant
an accountant trained in the law and the responsible for preparing tax returns or developing tax strategies
trial balance
a summary of all the financial data in the account ledgers that ensures the figures are correct and balanced
benefit segmentation
dividing the market by determining which benefits of the product to talk about
brand name
a word, letter or group of letters that differentiates one sellers goods and services from those of competitors
B2B market
all the individuals and organizations that want goods and services to use in producing other goods and services or to sell, rent, or supply goods to others
consumer market
all the individuals or households that want goods and services for personal consumption or use and have resources to buy them
customer relationship management
the process of learning as much as possible about customers and doing everything you can over time to satisfy them or exceed their expectations with goods/services
demographic segmentation
dividing the market by age, income and education level
environmental scanning
the process of identifying the factors that can affect marketing success
focus group
a small group of people who meet under the direction of a discussion leader to communicate their opinions about an organization its products, or other given issues
geographic segmentation
dividing the market by cities, states, or regions
marketing
the activity, set of institutions and processes for creating, communicating, delivering and exchanging offerings that have value for customers and clients at large
marketing concept
1) customer orientation
2)service orientation
3) profit orientation
marketing mix
ingredients that go into a marketing program” product, price, place, promotion
marketing research
analysis of markets to determine opportunities and challenges, and to find the information needed to make good decisions
market segmentation
process of dividing the total market into groups whose members have similar characteristics
mass marketing
developing products and promotions to please large groups of people
niche marketing
the process of finding small but profitable market segments and designing or finding products for them
one to one marketing
developing a unique mix of goods and services for each individual customer
primary data
data you collect on your own
product
physical good,service,idea that satisfies a want or need plus anything that would enhance the product in eyes of customer
promotion
all the techniques sellers use to inform people about and motivate them to buy their products
psychographic segmentation
marketing strategy with the goal of keeping individual customers over time by offering them products that exactly meet requirements
secondary data
pre existing data already compiled by others
target marketing
marketing directed towards the groups an organization decides it can serve profitably
test marketing
the process of testing products among potential users
volume segmentation
dividing the market by volume of use
