1.
define: amortization period: the length of time until the debt is zero
2.
define: amortization schedule: a chart that shows the balance of the mortgage after each amortization period
3.
define: assets: things you own
4.
define: balance sheet: shows the assets, liabilities and financial position of the company
5.
define: bonds: loans to companies or goverments (no voting rights)
6.
define: bottom line figures: the final figures
7.
define: break even point: the point where income and expenses intersect (no loss or profit)
8.
define: capital cost allowance: the depreciation of an asset as an expense
9.
define: cash discounts: discounts offered to encourage customers to pay their bills on time
10.
define: cash flow: amount of money coming in and going out of your business monthly
11.
define: chain discounts: a series of discounts
12.
define: collateral: security for a loan
13.
define: common shares: paid dividends after the preference shares have been paid
14.
define: complete enumeration survey: where info is collected for every unit of the population
15.
define: compounded annually: interest is paid once a year
16.
define: compounded daily: interest is paid 365 times a year
17.
define: compounded interest: interest calculated on the principal plus any accumulated interest
18.
define: compounded monthly: interest is paid twelve times a year
19.
define: compounded quarterly: interest is paid four times a year
20.
define: compounded sem-annually: interest is paid twice a year
21.
define: constant: an item of data the stays the same
22.
define: conventional mortgage: the amount of money borrowed is less than 75% of the purchase price
23.
define: cross-footing: adding columns of figures horizontally and vertically to check that the totals agree
24.
define: data: the info collected from a survey and the figures generated through statistical analysis
25.
define: default: non-payment
26.
define: dividend: share of the profits of a company
27.
define: dividend: the number to be divided by
28.
define: divisor: the number you are dividing by
29.
define: extention: the total of units multiplied by the price
30.
define: fixed costs: costs that remain constant
31.
define: foreclosure: the process of repossessing and selling the real or personal property when the borrower has defaulted
32.
define: foreign currency exchange: a rate that one currency can be exchanged for another
33.
define: fractions: parts of a whole number
34.
define: front-loaded: the majority of the early payments go toward paying the interest on the loan
35.
define: high risk investment: you may get a large return or get nothing
36.
define: high-ratio mortgage: the amount of money borrowed is between 75% - 95% of the purchase price
37.
define: income statement: shows the money coming in and expenses for a certain period of time.
38.
define: interest: money earned on an investment or paid on a loan
39.
define: investment: something that is expected to return a profit
40.
define: invoice: a bill
41.
define: lease: a contract giving someone the right to use something for a certain length of time
42.
define: lessee: the person paying to borrow property for a certain amount of time for payments
43.
define: lessor: the owner of the property
44.
define: liabilities: amounts of money you owe
45.
define: loan: money given to someone on condition the person will return the money and interest by a specific date
46.
define: low risk investment: the interest amount is small, but you are guaranteed to get something
47.
define: maximum: the highest number in a group of data
48.
define: mean: (simple average) adding the group of items and dividing by the total number of items
49.
define: median: the score that falls in the middle
50.
define: medium risk investment: investing in a well-established company
51.
define: minimum: the lowest number in a group of data
52.
define: mode: the most frequently occuring value in a group of data
53.
define: mortgage: a loan
54.
define: mortgagee: the lender
55.
define: mortgagor: the borrower
56.
define: multi modal: more than one frequently occuring value in a group of data
57.
define: multiplicand: the first number
58.
define: multiplier: the number you are multipliying by
59.
define: net capitalized cost: the price after any down-payment or trade-in
60.
define: overtime: time worked beyond the established working hours
61.
define: p.a.: per annum - yearly
62.
define: parameter: number calculated from population data
63.
define: per diem: per day
64.
define: percent: of one hundred
65.
define: personal property: property other than real estate (often called a chattel mortgage)
66.
define: population: a complete set of individuals, objects or scores being studied
67.
define: preference shares: provide a specific dividend that is paid before any dividends are paid to common stock holders
68.
define: price earnings ratios: indicators of the confidence investors have in a company (the higher the better)
69.
define: proportion: when two ratios are equal
70.
define: range: the difference between the highest and lowest numbers in a set of data
71.
define: ratio: a comparison of two numbers
72.
define: real property: real estate (houses, condos, warehouses, factories, etc)
73.
define: residual value: the amount the property is worth at the end of the lease
74.
define: retired or amortized: paid in full
75.
define: risk: the unexpected variablility of returns
76.
define: sales commission: the money paid to an employee based on a percentage of their sales
77.
define: sample: a portion of the population being studied
78.
define: sensitivity analysis: deciding if its worth the risk
79.
define: shares: part ownership in a company
80.
define: simple interest: interest calculated on the principle
81.
define: special discounts: a percentage discount to customers
82.
define: statistic: a number calculated from sample data
83.
define: term: the length of the loan
84.
define: trade discount: a percentage discount for buyers associated with the products being sold
85.
define: variable: an item of data that has a different value at different times
86.
define: variable costs: costs that fluctuate
87.
define: weighted average: used when the each piece of data has more than one component
88.
define:money factor: a decimal figure when x by 2400 gives an approximate annual interest rate
89.
identify the four helpful calculating tools: electronic, portable (pocket), computer, spreadsheets
90.
what are the three items that may have to be subracted from the gross return figure when calculating net return: commission fee, inflation rate, capital gains tax
91.
what are the two main types of shares: preference and common
92.
what are the two methods calculators use to process information: algebraic, arithmetic
93.
what are the two types of interest: simple and compound
