What is a place for consumers and producers to exchange goods/services
100
Define market segment.
What is any part of an overall market that has common characteristics.
100
Define purchasing power?
What is the amount of goods/services that money can buy (changes over time)
100
Define credit rating.
What is a judgement of the ability of a person to pay back money borrowed (based on things like financial history and income)
100
Name the three types of business.
What is
1. Retail
2. Service
3. Manufacturing
200
What are the four ways to describe a business informally?
What is:
1. Type of ownership
2. Product/service offered
3. Channels of distribution
4. Role in the community
5. Jobs provided
200
What is the difference between a balance sheet and an income statment?
What is
Balance sheet: Provides a 'snapshot' image of the company's net worth
Income statement: Provides a summary of the company's revenue over a 12 month period
200
What are the three types of income?
What is
1. discretionary
2. disposable
3. net income
200
Define supply.
What is the quantity of goods/services that producers are willing to provide at a price that consumers are willing to pay
200
Define the law of supply?
What is
As supply increases, price decreases.
300
What are the factors of production?
What is
1. Human
2. Capital
3. Natural Resources
300
What are the five parts on an income statment?
What is
1. Revenue
2. Expenses
3. COGS
4. Net Income
5. Gross Profit
300
Why do people invest money?
What is
1. for future emergencies
2. to meet long/short term goals
300
Define direct and indirect channels of distribution.
What is
Direct: product/service straight from producer to consumer
Indirect: intermediary involved (retailer)
300
Define intangible. Provide an example.
What is
Something you can not see or touch (e.g. a service)
400
Name three jobs a meat- packaging company can produce.
What is assembly line worker, farmer, butcher
400
Why would a business need a balance sheet?
What is to get an indication of the company's net worth
400
Define compound interest.
What is when interest is calculated on both the principal amount as well as the interest that has already accumulated
400
Define demographics. What are the five categories that follow under demographics? Provide an example for each.
What is characteristics of the human population
1. age
2. gender
3. income level
4. stage of family life cycle
400
What’s the difference between supply and demand?
What is
Supply: amount of goods/services provided to consumers
Demand: amount of goods/services desired by consumers
500
What is outsourcing?
What is paying another company to do something for you (usually jobs are sent overseas)
500
Name one type of credit and one con of this type of credit.
What is:
student loan
line of credit
car loan
overdraft protection
500
Name 2 different savings plans.
What is
1. RRSP
2. RESP
3. GIC
4. Stock / bond
5. Mutual fund
500
Define discretionary income.
What is income left over after all necessities have been paid for.
500
Define embezzlement?
What is when a fake account is created by an employee and money is transferred into it from the business without anyone knowing about it