Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
34 Cards in this Set
- Front
- Back
|
Sole Proprietorship |
A business owned and run by one person |
|
|
Unlimited Liability |
Requirement that an owner is personally and fully responsible for all costs and debts of a business. |
|
|
Inventory |
Stock of goods held in reserve; includes finished goods waiting to be sold and raw materials to be used in production. |
|
|
Limited Life |
Situation in which a firm legally ceases to exist when an owner dies, quits, or a new owner is added. |
|
|
Limited Partnership |
The investors responsibility for the debts of the business is limited by the size of his/her investment in the firm. |
|
|
Bankruptcy |
Court granted permission to a individual or business to cease or delay debt payments |
|
|
Corporation |
Form of business organization recognized by law as a separate legal entity having all the rights of an individual |
|
|
Charter |
Gov't document that gives permission to create a corporation |
|
|
Stock |
Ownership certificates in the firm |
|
|
Stockholders (Shareholders) |
Person who owns a share or shares of stock in a corporation |
|
|
Dividend |
A check representing a portion of the corporate earnings |
|
|
Bond |
Written promise to repay the amount borrowed at a later date |
|
|
Principal |
Amount borrowed |
|
|
Interest |
Price paid for the use of another's money |
|
|
Double Taxation |
Feature of taxation that allows stockholders dividends to be taxed both as corporate profit and as personal income |
|
|
Partership |
Business jointly owner by two or more persons |
|
|
Merger |
Combination of two or more businesses to form a single firm. |
|
|
Income Statement |
A report showing a business's sales, expenses, and profits for a certain period. |
|
|
Net Income |
Measure of business profits determined by subtracting all expenses, including taxes from revenues. |
|
|
Depreciation |
A non-cash charge the firm takes for the general wear and tear on its capital good. |
|
|
Cash flow |
Sum of the net income and non-cash charges |
|
|
Horizontal Merger |
Takes place when two or more firms that produce the same kind of product joins forces |
|
|
Vertical Merger |
When firms involved in different steps of manufacturing or marketing join together. |
|
|
Conglomerate |
Firm that has at least four businesses- Each making unrelated products- None of which is responsible for a majority of its sales |
|
|
Multinational |
Corporation that has manufacturing or service operations in a number of different countries |
|
|
Nonprofit Organization |
Operates in a businesslike way to promote the collective interest of its members rather than to seek financial gain for its owners. |
|
|
Cooperative (Co-op) |
Voluntary association of people formed to carry on some kind of economic activity that will benefit its members |
|
|
Credit Union |
Financial organization that accepts deposits from, and makes loans to, employees of a particular company or gov't agency. |
|
|
Labor Union |
Organization of workers formed to represent its members interest in various employment matters |
|
|
Collective Bargaining |
Process of negotiation between union and management representatives over pay, benefits, and job related matters. |
|
|
Professional Association |
A group of people in a specialized occupation that works to improve the working conditions, skill levels, and public perceptions of the profession. |
|
|
Chamber of Commerce |
Promotes the welfare of its members and of the community |
|
|
Better Business Bureau |
Non profit organization sponsored by local businesses to provide general info. on companies |
|
|
Public Utilities |
Investor municipal owned companies that offer important products to the public. |
