Vocab 4

Question 1

an investment worth money; a ‘‘financial instrument’’ indicating ownership

Answer 1

Securities—

Question 2

an investment vehicle. Different types of securities include stocks, bonds, and mutual funds

Answer 2

Security—

Question 3

the ability to pursue what you think is right or necessary to do despite temptations to quit

Answer 3

Self-Discipline—

Question 4

the ability to pursue a task without being told to by someone else. Individuals who are self-motivated can find the strength to start and then finish a task without giving up

Answer 4

Self-Motivation—

Question 5

Costs that vary somewhat based on the number of units you sell

Answer 5

Semi-Variable Costs—

Question 6

An individual that owns a company. Sole proprietors are taxed on the profits of the company, are personally liable for any debts or judgments against the company

Answer 6

Sole Proprietorship—

Question 7

one of the equal parts into which a company’s capital is divided, entitling the holder to a proportion of the profits. Share refers to the ownership certificates of a particular company

Answer 7

Share—

Question 8

an individual or company that owns shares in a company

Answer 8

Shareholder—

Question 9

all people or companies associated with an enterprise

Answer 9

Stakeholders—

Question 10

shares of ownership in a company. Stock is a general term of ownership in any company

Answer 10

Stocks—

Question 11

A company that provides a good or service to another company

Answer 11

Supplier—

Question 12

the hard work a small business owner puts into forming, founding, and operating his/her business. Small business owners typically work very long hours. Sweat equity is as important as any capital but it’s not a cash investment.

Answer 12

Sweat Equity—

Question 13

the exact customers and market sector the business intends to erve

Answer 13

Target Market—

Question 14

working with others to address a challenge. Individuals using their skills in harmony with others to complete a task. Effective teamwork involves trust among members. Collaboration and cooperation.

Answer 14

Teamwork—

Question 15

Fixed cost plus variable cost

Answer 15

Total Costs—

Question 16

units times price

Answer 16

Total Revenue—

Question 17

the practice of operating openly and communicating fully, providing stakeholders with a clear understanding of how your enterprise operates.

Answer 17

Transparency—

Question 18

assets that are not already pledged as a guarantee to repay another loan.

Answer 18

Unencumbered—

Question 19

units refer to things the company sells. Retail stores sell many different types of units. Service businesses can sell many different services

Answer 19

Units—

Question 20

that does not include a promise by a guarantor to repay the loan in the event the debtholder is unable to make a required payment.

Answer 20

Unsecured Debt—

Question 21

costs that vary based on the units sold by your enterprise.

Answer 21

Variable Cost—

Question 22

1st step

Answer 22

Self Assessment

Question 23

2nd step

Answer 23

Self assessment presentation

Question 24

3rd step

Answer 24

Microenterprise Credit Application

Question 25

4th step

Answer 25

Company Registration

Question 26

5th step

Answer 26

Credential Online Test