Chapter 12 Financial Management

The flashcards below were created by user prendergastj0714 on FreezingBlue Flashcards.

  1. Revenue
    All income that businesses receive over a period of time.
  2. Expenses
    The costs of operating a business.
  3. Budget
    A detailed plan for the financial needs of individuals, families, and businesses.
  4. Start-Up Budget
    Plans income and expenses from the beginning of a new business or a major business expansion until it becomes profitable.
  5. Operating Budget
    The financial plan for ongoing operations of the business for a specific period.
  6. Cash Budget
    An estimate of the actual money received and paid out for a specific period.
  7. Financial Records
    Used to record and analyze the financial performance of a business.
  8. Asset
    What a company owns.
  9. Liability
    What a company owes.
  10. Owner's Equity
    The value of the owner's investment in the business.
  11. Balance Sheet
    The assets, liabilities, and the owner's equity for a specific date.
  12. Income Statement
    A report of the revenue, expenses, and net income or loss from operations for a specific period.
  13. Payroll
    Financial record of employee compensation, deductions, and net pay.
  14. Payroll Records
    The Documentation used to process earnings payments and record each employee's pay history.
  15. Direct Deposit
    The employer transfers net pay electronically in to the employee's bank account.
  16. Financial Performance Ratios
    Comparisons of a company's financial elements that indicate how well the business is performing.
  17. Discrepancies
    Difference between actual and budgeted performance.
Card Set:
Chapter 12 Financial Management
2013-10-01 14:56:43
Chapter 12 Financial Management prendergastj0714

Cards for Principles of Business Administration Chapter 12
Show Answers: