Credit & Budgeting
What are the 3 Cs of Credit?
Capital, Capacity, and Character
What is the main purpose of insurance?
Financial risk management
What is a company's statement that explains its values and purpose called?
Mission statement
What financial statement shows revenue, expenses, and profit for a period of time?
Income Statement
What form does an employee fill out before starting a job to tell the employer how much tax to withhold?
W-4 form
Which C of Credit is related to a person's ability to pay back a loan?
Capacity
What type of insurance covers damage to another person's car if you are at fault?
Property damage liability insurance
What tool visually shows a company's structure and chain of command?
Organizational chart
What two elements are required for mutual assent?
Offer and acceptance
What form shows the money earned and taxes withheld by an employer?
W-2 form
If someone often pays bills late, which C of Credit is affected?
Character
What type of insurance helps pay for repairs to your own car after an accident?
Collision insurance
Which level of management usually develops goals for the entire company?
Top or senior management
In a contract, what is the item or value being exchanged called?
Consideration
What form reports interest earned from a bank or credit union?
1099-INT form
Which expenses can usually be adjusted most easily?
Variable expenses
What type of insurance covers damage to your home from events like hailstorms?
Homeowner's insurance
Which leadership style gives employees freedom to decide how to accomplish goals?
Laissez-faire leadership
What financial statement is a snapshot of account balances and verifies the accounting equation?
Balance Sheet
What is the usual due date for filing a federal income tax return?
April 15
What is a subprime loan?
A high-interest loan offered to borrowers with low credit scores
What type of life insurance provides coverage for a limited time period?
Term life insurance
What does SWOT stand for?
Strengths, Weaknesses, Opportunities, and Threats
If total assets are $300,000 and total liabilities are $100,000, what is owner's equity?
$200,000
What type of tax rate increases as income increases?
Progressive tax