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4.01 role of finance
| Term | Definition |
|---|---|
| accunting | the process of keeping and interpreting fiancial records |
| accounts payable | all monies owed by da business |
| accounts recivable | all monies owed to a film by customers |
| acquisition of funds | finance activity involing making decisions |
| administration of assests | finance activity involing decisions bout firm |
| asset | anything of value da a business owns |
| capital budgeting | a process in which a firm finacial mangers determine |
| capital investment decisions | decisions that determine which projects a business will invest in |
| capital structure | a firm mix of financing usually some comb of debt |
| cash conv cycle | ratio that refers to the number of days bwtween a company paying for raw materials |
| debt funding | using money that is lent by a bank |
| divdend | a sum of money paid to an investor or stockholder |
| equity funding | using money form investor to finance a project in exchange |