Test 3 Flashcards
lien
the right to take possession of collateral until a debit is repaid.
limited liability corporation (LLC)
a special type of corporation where individual owners are taxed on the profits of the company, but the corporation is liable for debts or judgments against the company.
online credti
debt obtained companies borrowers need to disclose much less information amount themselves to obtain online credit.
overdraft
when a company issues a check or makes a financial commitment for an amazing greater then the amount the company has deposited in the bank. also called a “bounced check”.
overhead
costs that a business incurs that are not part of producing the goods or services it sells.
net income
“net” means revenues after costs
Line of credit
a loan that provides the borrower a maximum amount of money he or she can borrower – the borrower can them access or use that line of credit for only as much money as they need at any particular time
Liquid assets
cash or securities that can be immediately turned into cash, which can then repay any loan account outstanding
Louisiana department of revenue
that state agency that collects state taxes.
marketing
how a business communicates to large numbers of customers, motivating them to learn more about the business and its offerings.
maturity
the date a loan is repaid in full.
mentor
a person who coaches and supports an entrepreneur or student.
mortgage
the money a person borrows to buy real estate
mutual funds
an investment security that includes many different stock purchases and held together.
partnership
when 2 or more individuals own a company
