Finance
What is the amount by which the value of total assets exceeds total liabilities, or the amount of the owner's own capital invested in a business?
Equity or net worth
What is measured by the vertical distance between the total cost and total revenue curves?
Profit
What term is used for a sustained rise in the general price level for goods and services in the economy?
Inflation
The process of gathering information about other companies in your industry to compare your
performance against and to use to set goals.
Benchmarking
What is the price at which an option holder can acquire a futures position called?
Strike price.
What phrase is used for the number of "free" or linearly independent observations used in the calculation of a statistic?
Degrees of freedom
Which president created the United States Department of Agriculture?
Abraham Lincoln
What does FCOJ stand for?
Frozen Concentrate Orange Juice
What is the accounting method that recognizes income when earned and expenses when incurred?
Accural Accounting
What term is used for a direct reduction in taxes owed?
A tax credit
Macroeconomic policy makers in the 1970s observed high rates of inflation and low rates of output (i.e., high unemployment). This phenomenon is known as _____.
Stagflation
Economic theory that is used to illustrate cyclical prices
Cobweb Theory
A statistical technique that can be applied to data that exhibit “natural” groupings. A cluster is a group
of relatively homogeneous cases or observations.
Cluster Analysis
Regular price movement observed year after year within a 12-month period is referred to by what term?
Seasonality
A country is said to have a(n) _______________ advantage when it can produce a product at less cost than another country.
Absolute
Some plants have a horizontal underground stem, often enlarged for storage. What is this stem called?
Rhizome
(not the same thing as rhizobium which is a bacteria)
What is the most common method for a firm to increase its financial leverage.
Increase its debt.
What curve represents the least-cost combination of two inputs that can be used to produce increasing quantities of a product?
Expansion path
A graduated income tax does what to a cyclical economy?
Helps stabilize it.
Which accounting method recognizes and records revenue only when income is actually received?
Cash accounting
The price at which the futures contract underlying a call or put option can be purchased (if a call) or sold
(if a put). Also referred to as strike price.
Exercise Price
What is the name of the theorem that states that the square of the hypotenuse of a right triangle is equal to the sum of the squares of the other two sides?
Pythagorean Theorem
What organization has essentially replaced GATT?
World Trade Organization (WTO)
What is the net weight of a bale of cotton using the International Cotton Advisory Committee standard?
478 pounds
What is a ratio for measuring financial or capital structure?
Debt to asset or debt to equity or asset to equity
Assuming air travel and rental cars are complements, describe the demand for rental cars if ticket prices fall?
The demand will increase.
In Keynesian economics, long-term wage contracts lead to what phenomenon?
"sticky wages"
Allows cooperatives to distribute patronage refunds in the form of stock or equity allocation rather than
cash
Revolving Fund Financing
Another name for pin-hooking is?
Arbitrage
A square matrix with 1's on the main diagonal from the upper left corner to the lower right corner, and 0's everywhere else.
Identity Matrix
What is a tariff imposed to offset the competitive advantage that an export subsidy gives a foreign product?
Countervailing Duty
How many gallons are in an acre inch of water?
27,154
What business activity includes the purchase of one firm by another firm?
Acquisition
Total Physical Product is declining in production stage(s) _____.
Stage III
What type of tax occurs when the average tax rate falls as income rises?
Regressive
What are the three components necessary for real property to have value?
Utility, scarcity, and demand
Name the process of lowering prices after the introduction of a new product, in order to deter competitors and capture a larger portion of consumer surplus?
Price skimming.
What statistic is calculated by taking the covariance of X and Y divided by the standard deviation of X and the standard deviation of Y?
Correlation coefficient
The theory that once assets enter into agriculture they tend to be locked in by the fact they are worth little outside of agriculture.
Fixed Asset Theory
Where does the United States rank in net agricultural output (globally)?
3rd