TCG Business Studies Definitions 2nd Year Economics & Companies
Terms in this set (...)
Someone who is employed by themselves or their own company.
A sum of money paid regularly by a company to its shareholders out of its profit.
A deficit in a bank account caused by drawing more money than the account holds.
Any cash outflow that remains constant that remains constant regardless of the level of activity.
When person is taking out insurance, they must answer all the questions on the proposal form truthfully and give the insurance company any important information about themselves and the item they want to insure.
A person who owns or runs her own business
Private Limited Company
A company which is formed when between 1 and 50 people put together money to start a new business with limited liability
This means that if a private limited company goes bankrupt, the shareholders will only lose the amount the invested in the company
The way a country uses its factors of production to produce goods or services
Factors of production
Land, labour, capital, enterprise
gross national product
the change in quantity of goods and services produced in a country from one year to the next
An increase in prices from one period to the next
A document that gives a detailed breakdown of government income and expenditure for the next year
The day to day regular income e.g. income tax
Long term or once off expenditure e.g. building a new school
Planned total income is greater than planned total expenditure
Money allocated in the budget to pay off part of the National debt
Pay As You Earn. It is a method of Income tax and deductions under which a person's employer calculates and deducts the amount(s) due each time a payment of wages, salary, etc. is made to an employee.
A tax on the interest earned by people on their savings
the sale of a semi state company by the government
an organisation formed by people who join together to achieve a particular objective e.g. credit union
incorporating the company
once the documents for a private limited company have been prepared, the must be brought to the companies registration office.
the person the board of directors elect to run the company
the capital of a business
the amount invested in the business by the owners
the purchase of irish made goods instead of foreign goods