Economics
how societies manage scarce resources to produce, distribute, and consume goods and services.
Economics
The ownership of a company. The Assets minus the liabilities.
Equity
a cash reserve designed to cover sudden financial expenses
Emergency Fund
a basket of securities that trades on an exchange, just like a stock.
ETF (Exchange Traded Fund)
Principles which set the criteria for preparing, presenting, and reporting financial statements in the U.S.
GAAP (Generally Accepted Accounting Principles)
When higher production lowers the average cost per unit.
Economies of Scale
a company's profits or net income in a given quarter or fiscal year
Earnings
a tax-advantaged account created for or by individuals covered under high-deductible health plans (HDHPs) to save for qualified medical expenses
HSA-Health Savings Account
the use of government spending and tax policies to influence economic conditions
Fiscal Policy
a key financial document used by businesses to monitor and report their revenues and expenses
Income Statement
the target interest rate range set by the Federal Open Market Committee
Federal Funds Rate
the price a erson or business pays for borrowing money
Interest Rate
a form of compensation or benefits received for work performed or from investments.
Income
the set of assets passed down after someone dies
Inheritance
a financial obligation that a person or company owes to another party (Assets - Equity)
Liability
the monetary value of all finished goods and services produced within a country's borders in a specific timeframe
GDP (Gross Domestic Product)
a financial arrangement where an entity provides money to another with the expectation of repayment over time
Loan
An increase in the money supply; measures how quickly the prices of goods and services are rising.
Inflation
a financial market that deals in short-term borrowing and lending without promising significant returns
Money Market
refers to the ease with which an asset or security can be converted into ready cash
Liquidity
The principle that compares the availability of resources with consumer preferences
The Law of Suppy and Demand
any gain you pass up by deciding on one use of your resources over others
Opportunity Cost
policies to protect their health, homes, and automobiles
Insurance
a security that represents ownership of a fraction of the corporation that issued it.
Stock
the monetary value of the assets owned by an individual after subtracting the total value of their liabilities (Same as the equity)
Net Worth