Get ahead with a $300 test prep scholarship
| Enter to win by Tuesday 9/24
Terms in this set (130)
Those costs which can be directly tied to a good, service, or product
Used in finance to disclose an organization's financial standing
The process of collecting and analyzing data that be used in the strategic decision making process for a business.
An examination of an organization's financial statements by an independent accountant, not affiliated with the organization
Refers to the ability of an organization to meet its financial obligations.
The main source of money for many local governments. This tax is based on the value of property such as land and buildings
Includes earnings that a company has retained and the amount of funds invested in that company by its owners
Accounting that focuses on revenues and expenses of a business, reporting variances to management.
A data-mining technique that takes a numerical dataset and develops a mathematical formula that fits the data
Reporting by an entity that outlines its' economic environmental and social performance
composed of the companies involved in buying and selling of insurance
time value of money
the increase of an amount of money due to interest earned over time or dividends paid
Those costs which cannot be directly linked to a good service or project
A cost that a business has incurred, but cannot recover
The (often) computerized system of collecting, processing, analyzing and presenting accurate financial data to support management decisions
The way a business interacts with its customers in order to obtain new customers while maintaining the current customer base
An employee of a business or other organization whose task is to ensure that regulations imposed by a government agency are being met as well as internal policies and procedures
Evaluating an organization's financial statements to determine the profitability of the organization, a division with the organization or a specific event or project.
Information provided regarding an investment instrument issued by a corporation, government or other organization that demonstrates whether it is debt or equity.
An examination of an organization's financial statements that is conducted by an employee of the organization
The process of managing money for an individual, business or other organization
The difference in cost between two or more business decisions
Used when a business anticipates risk and refrains from certain business activities in order to avoid the risk
Monitoring the opportunity for loss for a business
Fully and accurately disclosing of financial information to the public
Board of Directors
A group of individuals elected by stakeholders of an organization to govern the organization
The strategy involves creating groups of people within the business or organization who have expert status in various methods, and then each project is carried out according to a set of steps in an effort to reach specific financial milestones. A six sigma process is defined as one in which 99.99966% of products created are expected to be statistically free from defects
Refers to rising prices and is an indicator of the stability of an economy
A contract between a business and the insurer that covers a specific business risk
The four functions of management include: planning, organizing, leading, and controlling
A data-mining technique that uses a decision tree that requires a series of decisions
Refers to the rule and practices that direct and control an organization
Contacts made through business connections and interactions
Refers to the difference between a planned and actual budget
A decision making tool that compares the cost of an activity versus the benefits of the activity
Process of improving capabilities of staff through access to education and training opportunities in the workplace, through outside organizations, or observing others perform the job
Refers to the method in which indirect costs are assigned to a product
Activity based costing
A method used by businesses to accurately allocate overhead costs to specific products
A strategy in which an insurance risk is shifted to another party (the insurer) by means of an insurance policy
Information in an unorganized form (alphabets, numbers or symbols) that have a relationship with current conditions, ideas, or knowledge
Calculated as a percentage of the taxable income workers earn while on the job
A network of banks, discount houses, institutional vendors , and money dealers who borrow and lend among themselves for the short term (90 days). Any investment has risk, but a money market account is considered a safe place to invest due to its short term nature
The possibility of loss, damage or injury outside of a business or other organization
Combining assets, equity, liabilities and operating accounts of a business and IRS subsidiaries into one financial statement or combining two or more businesses through the purchase, merger or ownership transfer to create a new business
The assumption that taxpayers will stay in compliance with tax laws and accurately report their income amounts and tax deductions fairly and honestly
The entity that provides available capital resources to debtors, in exchange for compensation
The process of controlling an individual, business or other organizations opportunity for damage, loss or injury to ensure the safety of the community, environment and legal responsibilities
An inventory system allows a business to maintain the optimum number of each item. In doing so, a business can operate production of a good or service, sales or customer service at a lower cost
Verification that a vendor meets the requirements of accepted practices, regulations, legislation, rules, standards and/or the terms of a contract
Charged to customers as a percentage of the price of the item being purchased
Organizations that are public or private whom act as a channel between savers and borrowers of funds. There are two types of institutions: depository and non-depository. Depository organizations are usually banks or credit unions. Non-depository organizations are often recognized as insurance companies or mutual funds
The financial documentation for an individual, business or other organization. The most common records are a Cash Flow Statement, Income Statement, Balance Sheet and Tax Returns
The status of the assets, liabilities and owner's equity of an individual, business or other organization as shown in its financial statements
The portion of disposable income that is not spent on essential expenses in a household or business. A variety of savings vehicles are available to increase the value of savings including a bank savings account, stocks, bonds, etc
A tax paid on wealth, collected after a person has died
Financial information management
Managing data such as credit card numbers, accounting balances or other monetary facts about an individual, business or other organization that are used when evaluating credit, loans, or other financial activities
Perpetual inventory system
An inventory systems that continually keeps track of the number of items in inventory, and can be done manually or by computer
The payment of cash for goods or services to settle an obligation; usually seen as an invoice or a receipt
A process to determine the cost of production or operation of a business by assigning expenses to various stages of production or operations of a firm
A person or business that owes money, goods or services to another
The worldwide development of economic, financial, trade and communication integration. This pushes business executives to consider broad views in the global marketplace as counties and their economies become interconnected and interdependent
A system that monitors an individual, business or other organizations financial standing. This includes recording and verifying financial information to determine a profit or loss for a given time period as well as the value of assets, liabilities and owners equity
The process of buying and storing materials and products while controlling costs
The possibility of loss, damage or injury within a business or other organization
Securities and Exchange Commission (SEC)
Government agency created in 1934 that is responsible for enforcing securities-related laws and setting standards for financial information about businesses that are traded on a stock exchange.
refers to the amount of control that a principal has over an agent
deals with the rules and regulations that have been established by governmental agencies.
an economic system in which individuals and groups, rather than government, own or control the means of production
a financial professional who has been given legal authority to make financial transactions on behalf of an individual or business
involves making wise financial decisions and obtaining financial products that will help the client achieve his/her financial goals.
the donor pays a reduced amount of tax or is exempt from paying the tax, depending on the type and value of the gift.
a type of compliance technology that uses multiple reasoning processes to continuously review financial transactions and processes to identify errors and/or compliance violations
used to identify financial system transactions that are very similar to each other but not exactly alike.
used to consider each financial transaction's circumstances and how they compare to historical patterns in the system.
involves considering the timing of a financial transaction
used to compare financial transactions and processes in multiple financial systems
aspects of the setting that take away from a listener's ability to listen
a section of a formal report that highlights the most important information that appears in the body of the document
the way a person or group views the company; the combined impressions and experiences associated with the company
exclusive investment partnerships that typically require a large minimum investment
removes duplicate records, updates expired data, and completes incomplete data fields. An effective round of this results in a database that contains useful, relevant, and accurate data.
consumer products that are purchased by consumers after comparing products and stores to get the best quality, price, and/or service.
manufactured or constructed items used in the production of goods and services
convenience goods and services
goods and services purchased quickly and without much thought or effort by ultimate consumers
consumer products with special or unique characteristics that consumers are willing to exert special efforts to obtain
come into play when both wages and prices rise or fall at the same rate, so that consumers are willing to pay the new price
prices that are about equal to or lower than those of a business's competitors
prices that are either too high for the good or service provided, or too low in comparison to those of competitors
prices that are fair and reasonable, relating strictly to the value of the product
part of a business's overall social responsibility-does not relate to political campaigns, scientific research, or the economy
risks that carry with them the possibility of loss or no loss
those risks that may result in a loss, no change, or a gain.
when a nation can produce a product for less than other nations
achieved by a nation from specializing in and producing goods and services at which it is relatively most efficient
occurs when a nation's exports are greater than ints imports
restriction that limits the quantity of goods which can move in and out of the country
joint venture/strategic alliance
an arrangement that involves two or more businesses entering into a short-term relationship by combining complementary resources such as technology, skills, capital, or distribution channels for the benefit of all parties.
a contractual agreement between a parent company and a franchisee (separate entity or company) to distribute the parent company's goods or services.
a feeling of bitterness that other people have treated you unfairly-people often become ____ when they fail to take responsibility for their decisions and actions because they have relinquished control of their lives to other people or outside circumstances
refusal to accept the truth
a negative feeling people experience when they've done something they shouldn't do or not done something they should
the exchange of information through the use of words, including writing and speech.
exchange of information without the use of words, including body language, eye contact, and gestures
feeling you get when you're overwhelmed, overworked, or worried.
amount of work employees perform in a given period, usually their output per hour
the rate at which a business gains and loses employees
a problem-solving group of coworkers who are given work situations or problems to study and discuss in order to recommend solutions to management
group that works together for a common purpose over a long period of time
group that has an immediate goal, such as planning a social event for employees
consists of individuals who work together to develop, improve, and/or market a product
revolving credit plan
a credit plan that allows customers to make purchases that are within their credit limit and pay all or part of the balance due each month
budget credit plan
a short-term credit plan, typically for two to three months
open credit plan
a regular credit plan requiring payment in full at the end of each credit period
coupon credit plan
issues coupons to be paid for over a period of time and to be used by customers in making purchases
insurance to protect others (family members) from financial losses related to his/her death.
worker's compensation insurance
insurance purchased by employers to provide benefits to employees who are injured on the job
insurance that covers costs associated with potential property losses or injuries due to negligence on the part of the insurance owner
insurance that covers land and building losses
earning interest upon interest. three key factors: amount of money invested, how long money is invested, and how much investment grows each year
raw, primary products which are typically categorized as energy, metals, and agricultural products
financial holding company
a large organization that owns most or all of the shares of individually incorporated subsidiaries that engage in other types of financial activities.
during ____________, production, employment, income, sales, the demand for moeny, and interest rates rapidly increase.
the rapid and unimpeded flow of capital, labor, nad ideas, across national borders
refers to government policies that aim to protect domestic industries and businesses against foreign competition
format used to list stock quotes in newspapers and on websites. helps monitor the performance of a company's stock.
when a stock's price rises or falls sharply. means investors can earn or lose a great deal of money by owning the stock
rate of return
the reward or benefit received in return for an investment, recorded as a percentage of the investment
the financial ratio that shows how much investors are willing to pay for each dollar of earnings
portion of a company's profits, paid to shareholders, usually on a quarterly basis