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Finance in Marketing
| Term | Definition |
|---|---|
| Corporate Finance | The area dealing with monetary decisions that corporate enterprises make. |
| Managerial Finance | The area dealing with monetary decisions that all types of companies make, except corporations. |
| Personal Finance | Individual taking care of their money. |
| Dividends | A small payment to each person who owns a stock of a company. |
| Liability | An obligation, debt or responsibility owed to someone. |
| Allocate | To distribute according to a plan. |
| Capacity | The ability of the borrower to repay the loan. |
| Capital | The money the entrepreneur has personally invested in the business. |
| Collateral | An asset pledged to the lender as a security for the money being borrowed. |
| Conditions | Intended for a purpose. |
| Character | General impression the entrepreneur makes on the potential lender as to their trustworthiness to repay the loan. |
| Interest | The cost of borrowing money. |
| Principal | The amount of the loan. |
| Interest Rate | A rate which is charged or paid for the use of money. |
| Assets | The resources from which it expects to gain some future benefit. |
| Liabilties | Debts owned. |
| Net Worth | How much money an entity is worth. |
| Profit | A financial gain. |
| Cash Flow | amount of money being transferred into or out of a business. |
| Sales | A quantity or amount sold. |