BUSINESS FINANCIAL GOALS
THE FIRST STEP IN FINANCIAL MANAGEMENT FOR A BUSINESS
WHAT IS ESTABLISH FINANCIAL GOALS
ALSO KNOWN AS THE STATEMENT OF FINANCIAL POSITION, IDENTIFIES THE ASSETS, LIABILITIES, AND EQUITY OF A BUSINESS AS OF A SPECIFIC DATE.
WHAT IS A BALANCE SHEET?
A PROJECTED FINANCIAL STATEMENT FOR A SPECIFIC FUTURE TIME PERIOD.
WHAT IS FINANCIAL BUDGET?
AN INDIVIDUAL OR AN ORGANIZATION THAT PROVIDES FUNDS TO A BUSINESS, WITH REPAYMENT OF THE FUNDS AND
WHAT IS CREDITOR?
PROVIDES A VIEW OF THE FINANCIAL CHANGES IN A BUSINESS THAT HAVE OCCURRED DURING A SPECIFIED PERIOD OF TIME
PROJECTS ALL INCOME AND EXPENSES FOR THE OPERATIONS OF A BUSINESS FOR A SPECIFIC FUTURE TIME PERIOD.
WHAT IS A OPERATING BUDGET?
THE AMOUNT OF MONEY OWED
WHAT IS PRINCIPAL?
IS PREPARED TO SHOW HOW CASH IS USED BY A BUSINESS DURING A SPECIFIED TIME PERIOD.
THE ESTIMATE OF THE FLOW OF CASH INTO AND OUT OF A COMPANY FOR A SPECIFIED TIME PERIOD.
THE AMOUNT PAID FOR THE PRIVILEGE OF BORROWING MONEY.
WHAT IS INTEREST?
THE TOTAL VALUE THAT ALL OWNERS AND INVESTORS HAVE IN THE FIRM.
WHAT IS OWNER'S EQUITY?
A PLAN TO ACQUIRE AND FINANCE LONG-TERM ASSETS OF A BUSINESS.
WHAT IS CAPITAL BUDGET?
AN ASSET PROMISED BY A BUSINESS TO A CREDITOR IF REPAYMENT OF A LOAN ISN'T COMPLETED.
WHAT IS COLLATERAL?
A DECLINE IN THE VALUE OF AN ASSET AS IT AGES
WHAT IS DEPRECIATION?
EXAMINES FINANCIAL PERFORMANCE OVER SEVERAL PERIODS OF TIME TO DETERMINE PATTERNS.
WHAT IS TREND ANALYSIS?