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Finance

TermDefinition
functions of business the five main functions that business performs
stockholder one who owns shares of stock in a corporation or mutual fund
ethics a system of moral principles
credit a contractual agreement in which a borrower receives something of value now and agrees to repay the lender at some later time
interest the fee charged by a lender to a borrower for the use of borrowed money
profit the positive gain from an investment or business operation after subtracting for all expenses opposite of loss
asset anything of monetary value that you own, such as cash, bank accounts, real estate, or stocks
liability a debt that you owe to others, such as credit card debt, school loans, car payments, or taxes
net worth the difference between your assets and your liabilities. To find a business's net worth, subtract its debts from its assets
personal financial statement one way to determine whether you and your business are good credit risks
Created by: santos_46