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MORT 202
MODULE I
| Term | Definition |
|---|---|
| Business | an organization that combines inputs of raw materials, capital, labor, and management skills to produce useful outputs of goods and services so as to earn a profit |
| Small Business Administration (SBA) | the principal government agency concerned with the financing, operation, and management of small businesses |
| Entrepreneur | one who organizes, manages, and assumes the risk of a business firm or venture |
| Corporate refugee | those individuals who flee the bureaucratic environment of big business by going into business for themselves |
| Small Business | a business which is independently owned and operated and is not dominant in its field of operations |
| Business plan (new venture plan) | a written description of a new idea that projects marketing, operational, and financial aspects of a proposed business |
| employees | one who is under the control and direction of an employer with regard to the performance of employment |
| Finance | the business function of effectively obtaining and using funds |
| Rate | the annual percentage rate used to compute interest |
| Interest | money paid for the use of money |
| Manufacturing business | a business that makes finished goods from raw materials by hand or machinery |
| Merchandising business | a business that purchases finished goods for resale |
| Service business | a business that provides a service as opposed to a product |
| Interdependence of business | the dependency of businesses on one another |
| economic competition | the practice of trying to obtain something that is being sought by others under similar circumstances at the same time |
| Innovation | the introduction of something new; a new idea, method, or device |
| Sole Proprietorship | a business owned and operated by one person, who bears unlimited liability for the enterprise |