Know the Business Words
Money received from sales before expenses are deducted is called what?
Revenue
Money a business spends is called what?
Expense
Money left after expenses are paid is called what?
Profit
Something valuable that a business owns is called what?
Asset
Something a business owes is called what?
Liability
A company truck that is fully paid for is an example of what?
Asset
A $20,000 bank loan the company still owes is what?
Liability
A company's plan for reaching a goal is called what?
Strategy
Customers, employees, and owners can all be what?
Stakeholders
Money/resources used to start or grow a business is called what?
Capital
A business has $10,000 in revenue and $7,000 in expenses. What is its profit?
$3,000
Workers find a way to make more products in the same amount of time. What increased?
Productivity
A company decides to offer free shipping to attract more customers. This plan is its what?
Strategy
A business purchases a $5,000 machine that it now owns. The machine becomes what?
An asset
Employees, customers, and owners can all be affected by a company's decisions.
Stakeholder
This is the money a business receives from selling its products or services before expenses are taken out.
Revenue