ESB Exam Study Guide With Complete Solutions.
Acquisition Cost
the cost of obtaining data that you don't have
Contingency costs
amount of money included to cover potential events that are not specifically accounted
for in a cost estimate
Variable Cost
a cost that rises or falls depending on how much is produced
fixed costs
costs that do not vary with production or sales level
pro forma
financial statement
Small Business Administration (SBA)
government agency that helps small business owners develop business plans and
obtain financing
Limited Liability Company (LLC)
a form of business ownership that offers both limited liability to its owners and flexible
tax treatment
S cooperation
a small business entity that is created under state laws
liquid assets
cash and items that can be quickly converted to cash
Assets
resources owned by a business
dividend
The portion of corporate profits paid out to stockholders
liability
An amount owed by a business
Net Income
the difference between total revenue and total expenses when total revenue is greater
shareholder
Individual who owns part of a corporation
account payable
money owed for products and services purchased on credit
Accounts Receivable
Amounts to be received in the future due to the sale of goods or services
Angel Investors
individuals who invest in start-up companies with high growth potential in exchange for
a share of ownership
Bonds
Certificates of debt that carry a promise to buy back the bonds at a higher price
Capital/Equity
Funds contributed by investors to a business.
capital expenditures
Expenditures on equipment the business will use for many years.
Acquisition Cost
the cost of obtaining data that you don't have
Contingency costs
amount of money included to cover potential events that are not specifically accounted
for in a cost estimate
Variable Cost
a cost that rises or falls depending on how much is produced
fixed costs
costs that do not vary with production or sales level
pro forma
financial statement
Small Business Administration (SBA)
government agency that helps small business owners develop business plans and
obtain financing
Limited Liability Company (LLC)
a form of business ownership that offers both limited liability to its owners and flexible
tax treatment
S cooperation
a small business entity that is created under state laws
liquid assets
cash and items that can be quickly converted to cash
Assets
resources owned by a business
dividend
The portion of corporate profits paid out to stockholders
liability
An amount owed by a business
Net Income
the difference between total revenue and total expenses when total revenue is greater
shareholder
Individual who owns part of a corporation
account payable
money owed for products and services purchased on credit
Accounts Receivable
Amounts to be received in the future due to the sale of goods or services
Angel Investors
individuals who invest in start-up companies with high growth potential in exchange for
a share of ownership
Bonds
Certificates of debt that carry a promise to buy back the bonds at a higher price
Capital/Equity
Funds contributed by investors to a business.
capital expenditures
Expenditures on equipment the business will use for many years.
