Financial Management

All income that a business receives over a period of time

Costs of operating a business

Plans income and expenses from the beginning of a major business expansion until it becomes profitable

Financial plan for ongoing operations of the business for a specific period

Estimate of the actual money received and paid out for a specific period

Used to record and analyze the financial performance of a business

What a company owns

What a company owes

Value of the owner's investment in the business

Lists the assets, liabilities, and owner's equity for a specific date

Reports the revenue, expenses, and net income or loss from operations for a specific period

Financial record of employee compensation, deductions, and net pay

Documentation used to process earnings ,payments and record each employee's pay history

Employer transfers net pay electronically into the employee's bank account

Comparisons of a company's financial elements that indicate how well the business is performing

Differences between actual and budgeted performance

Provides detailed plans for the financial needs of individuals, families, and businesses

Will be paid within a year

Assets w/ a life span of more than a year

Include cash and those items that can be readily converted to cash..such as inventory and accounts receivable

Occurs when expenses are greater than income

Maintains information on each employee to be able to calculate necessary payments to each employee

Included with paycheck. Provides information for the current pay period as well as the cumulative amounts for the year

Expenses exceed revenue

Revenue is greater than expenses