Your Life Is Your Business Flashcards
What type of goal is joining an exclusive country club?
Status goal
What type of goal is helping your teenager learn lines for a school play?
Primary relationship goal
What type of goal is shopping for a used car?
Economic security goal
What type of goal is attending a conference on effective investing?
Economic security goal
What type of goal is Going to a singles club meeting
Primary relationship goal
What type of goal is Taking a course in philosophy
Value goal
What type of goal is buying a designer dress
Status goal
Define financial management
Art of getting the greatest benefit from limited financial resources
Define fixed expenses
Fixed expenses are items such as rent mortgage food and utilities which occur on a regular basis often once a month.
Define discretionary expenses
In contrast to fixed expenses discretionary expenses don’t occur on a regular basis are are much more under our control.
Define security spending
Money outlays intended to protect our assets.
Define short term savings
Emergency cash reserve expected expenditures
Define assets
Things owned or held by a business that have a monetary value
Define Liabilities
What the business owes to banks or others on loans plus the total amount owed to creditors
Define equity
What the business actually owns in part or in whole
Define creditor
A person to whom money is owed
What is an income statement
Often called a profit and loss statement it is meant to show you the degree to which are in the clear or in the whole. The basic format is: Income-Expenses= profit or loss
Fixed or discretionary?
Telephone service
Fixed
Fixed or discretionary?
Rent
Fixed
Fixed or discretionary?
Hobby supplies
Discretionary
Fixed or discretionary?
Groceries
Fixed
Working within an organization teaches you to what?
Follow a supervised plan For organizing your time and energy.
Follow standard procedures set for you by managers or supervisors.
Identify yourself with your job.
Five general processes for beginning a new business.
Creative thinking Research Planning Gathering resources Production and marketing
Creative thinking basic questions
What are your financial resources? what are your special skills? Are you a people person? Where do you live? What do you like doing with your time? What do you want from your business?
