Financial Mangement

  1. Revenue
    All income that a business receives over a period of time
  2. Budget
    Provides detailed plans for the financial needs of individuals, families, and businesses.
  3. Expenses
    The cost of operating a business
  4. Start up Budget
    Plans income and expenses from the beginning of a new business
  5. Operating Budget
    Describes the financial plan for ongoing operations of the business for a specific period
  6. Cash Budget
    An estimate of the actual money received and paid out for a specific period
  7. Financial Records
    Used to record and analyze the financial performance of a business
  8. Assets
    What a company owns
  9. Liabilities
    What companies owe
  10. Owners Equity
    The value of the owners investment in the business
  11. Balance Sheet
    The assets, liabilities, and owners equity for a specific date are listed
  12. Income Statement
    To report the revenue, expenses, and net income or loss from operations for a specific period
  13. Payroll
    The financial record of employee compensation, deductions and net pay
  14. Payroll Records
    The documents used to process earning payments and record each employee's pay history
  15. Direct Deposit
    The employee transfers net pay electronically into the employee's bank account
  16. Financial Performance Ratios
    Comparisons of a company's financial elements that indicate how well the business is performing
  17. Discrepancies
    Differences between actual and budgeted performance
  18. Current Ratio
    Current assets compared to the current liabilities
  19. Debt to Equity Ratio
    The company's liabilities divided by the owners equity
  20. Return of Equity Ratio
    The net profit of the business compared to the amount of owner's equity
  21. Net Income Ratio
    The total sales compared to the net income for a period such as 6 months or a year
  22. Cash Records
    List of all cash received and spent by the business
  23. Payroll Records
    Contain information on all employees of the company, their compensation, and benefits
  24. Tax Records
    Show all tax collected, owed, and paid
  25. Records of Accounts
    Identify all purchases and sales made using credit
Card Set
Financial Mangement
Principles of Business Administration Financial Management