Finance
Chase owns stock in CVS, a retail pharmacy company. He has the right to vote on company issues and examine corporate records, and he receives dividends from CVS's profits. What type of stock does Chase own?
What is common stock?
Caroline wants to start a business, but she is unsure of the most appropriate legal form for her. Short of cash, she has decided to adopt the form that is the least expensive and most flexible in terms of decision making and implementation. Which would you recommend?
What is a sol prop?
The accounting equation.
What is assets= liabilities+ equity?
The movement of money into and out of an organization is called
What is a cash flow?
In the brand new country of Kokomo, businesses are free to sell any legal product they want in any manner they desire as long as it does not violate any laws or ordinances. A business is also free to decide what to produce, how to produce it, and at what price to sell it. What type of economic system is employed in the new nation of Kokomo?
What is free enterprise?
FYI Capitalism is focused on the creation of wealth and ownership of capital and factors of production, whereas a free market system is focused on the exchange of wealth or goods and services.
Considered one of the highest level of involvement, investment, and risk in international business (example Walmart, Coca-Cola, etc).
What is a multinational firm or direct investment?
Macie invests money in the business but she has no management responsibility.
What is a limited partner?
Cash, marketable securities, notes receivable, and merchandise inventory are examples of _______.
What are current assets?
This is a standard length of a trade-credit agreement.
What is 30-60 days?
Although all energy drinks ultimately provide the same purpose, Celsius Live Fit strives to make its brand seem unique from the many other brands available on the market. The market for Celsius Live Fit can be characterized as _______.
What is monopolistic competition?
Companies that take their green marketing efforts too far or fail to substantiate their environmental claims may face fines from which federal agency?
What is FTC?
Salaries payable, accounts payable, and taxes payable are examples of
What are current liabilities?
Schneider Electric OFallon MO earned $900,000 last year. Its owners' equity totaled $4,500,000. Based on these amounts, what is the firm's return on owners' equity?
ROE=profit/equity (table in PPP-chapter 16-4-slide 47)
What is ROE of .2 or 20%?
During which stage of the business cycle (peak, recession, prosperity, recovery, trough) would Lululemon begin to focus on being more value conscious in its apparel and shoe production decisions?
What is recession?
A credit card company promotes an annual percentage rate of 2.9 percent in online ads. However, the company fails to mention that this is an introductory rate and that the rate increases to 24.9 percent after six months. When consumers are shocked after receiving their bills seven months after signing up, they feel their right to _______ has been abused.
What is a right to be informed?
Rylie's Hardware, Inc., had a gross profit of $380,000, operating expenses of $210,000, and income taxes of $48,000. What is Rylie's net income after taxes?
What is 122K?
Addison has an idea for starting a new business. She is certain the business will succeed because she can target high school and college graduates and then the general public. Her idea is for an employment agency that focuses on individuals with excellent computer and writing skills that will work for companies writing blog and web-page materials from home. She knows several individuals she can approach that would be interested in working for her business. She puts together a business plan, researches office locations, existing employment agency procedures and hiring practices, and forms of business. She meets with a banker and asks about financing for the start-up and is turned down. The banker suggests she seek crowdfunding. Worrying that crowdfunding will not generate sufficient funds, she approaches her parents and asks for a loan. Her parents agree to loan her $10,000 but require her to sign a written pledge to repay the $10,000 plus interest in one year. What was the written pledge she signed?
What is promissory note?
If the demand for Hermes Birkin bags weakens, what will happen to the price of the Birkin bags?
What is a decrease in prices?
A newly formed country in Central Asia has no high tariffs, yet other countries find it difficult to trade with the new country because of its requirements for product labeling, testing, and certifications. The country’s requirements would be classified as _______.
What is bureaucratic red tape?
Connor and Sally decide to go into business together. They start by writing an agreement listing and explaining the terms of the business they will both own, along with each of their responsibilities. Connor and Sally created a(n) _______.
What are articles of partnership?
What are the three major components included in a statement of cash flows?
What are operating, investing, and financing activities?