Business Ownership
This is the most common form of business ownership in the United States.
What is a sole proprietorship?
A manager responsible for overseeing a specific department in a business.
Department Head
The process of determining employment needs, creating job descriptions, and recruiting qualified candidates.
Staffing
The monetary reward a business owner receives for taking the risk involved in investing in a business.
What is profit?
Amounts of money owed by an individual or business to others.
Debts
Owners of corporations are known as these.
What are shareholders or stockholders?
The highest-ranking executive in a company, responsible for making strategic decisions and managing overall operations.
CEO
The act of seeking out and attracting qualified potential employees to fill job vacancies.
Recruiting
Money left after the cost of goods is subtracted from the total income.
What is gross profit?
A bank account specifically designed for depositing and saving money, often earning interest on the balance.
Savings Account
A corporation is governed by this group.
What is Board of Directors?
Desired outcomes or achievements that an organization aims to accomplish.
Goals
The process of reviewing applications and resumes to weed out applicants who do not meet the minimum requirements for a job.
Screening
Money left after the cost of goods and operating expenses are subtracted from the total income.
What is net profit?
The worth or importance of something, often measured in monetary terms or utility.
Value
In this structure, two or more people share profits and losses.
What is a partnership?
The ability to think abstractly, understand complex ideas, and see the big picture.
Conceptual Skills
Additional advantages and perks that employees receive in addition to their monetary compensation.
Benefits
Which external factor includes unexpected events that might prevent sales, or conversely, help sales?
What is chance?
The profit or loss generated from investments, calculated as a percentage of the initial investment.
Return on Investment
This type of corporation is exempt from federal income tax.
What is a nonprofit corporation?
The ability to communicate, interact, and build relationships with others effectively.
Interpersonal Skills
The act of ensuring adherence to laws and regulations related to employment, including matters such as equal opportunity and workplace safety.
Compliance
Besides financial gain, what can profit provide business owners with, related to owning their own businesses and serving their communities?
What is satisfaction?
A series of steps to maintain financial records effectively, including analyzing financial transactions, journalizing, posting to ledgers, balancing the books, preparing financial statements, and closing the books.
Accounting Cycle