Loans that are backed by collateral are called

Things you owe are referred to as your

This inventory method keeps track of inventory levels on a daily basis.

Which of the following is NOT a strategy a business can use to encourage faster payment?

Markie writes a check to pay for her store’s monthly rent. This transaction should be recorded in the

The person in a business who is responsible for planning, organizing, staffing, implementing, and controlling the operations of a business is the

This type of budget shows the projections of a business’s cash flow.

Which of the following is NOT generally thought of as part of the organizing function?

An income statement can help a business owner do all of the following EXCEPT

All of the following are concerns about inventory that managers must address EXCEPT

Which of the following financial statements best shows how much money you have available to pay your bills?

Which of the following is an example of a current asset?

The dollar amount of all sales with any returns subtracted is called

The dollar value of the goods or services a business sells to customers is called

What is a line of credit?

A management style in which employees are involved in decision making and the manager provides less direction is called

A list of people who receive salary or wage payments from a business is called a(n)

Outlines for appropriate employee behavior and actions are called

The process of setting standards for the operation of a business and ensuring those standards are met is called

What does debt-to-equity ratio measure?

Michelle Connor owns a retail store. In her industry, she needs to keep 3 months worth of inventory in stock at all times.What is the stock turnover rate in Michelle’s industry?

Denzel’s appliance store had total sales of $194,000 last month. Of that amount, $36,860 came from the sale of refrigerators. What percentage of total sales came from refrigerators last month?

A business has the following financial information for the month:

Revenues: $17,000
Insurance: $950
Cost of goods: $3,550
Rent: $1,250
Supplies: $1,050
Utilities: $875
Salaries: $5,100
Taxes: $1,250

Find the gross profit.

A business reported the following:

Net sales: $300,000
Cost of goods sold: $210,000
Operating expenses: $40,000
Taxes: $3,500

Find gross profit for the business.

A business reported the following:

Net income after taxes: $25,000
Net sales: $200,000

Find the net-profit-on-sales ratio.

Dana Collingwood obtained an SBA-guaranteed loan from her bank for $70,000 for her new business. The SBA guaranteed 75 percent of the loan. How much has the bank risked losing if Dana’s business fails?

You own a computer repair shop. You owe $35,000 to vendors; you have a ten-year bank loan of $40,000; your bank account balance is $17,000; you own inventory worth $67,000; you have $3,000 in account receivables; and fixed assets are $42,000. What is your owner’s equity?

You complete an aging table for your accounts receivable and find that of the $12,000 you are currently owed, $600 is past due by over 60 days. What percent of your accounts receivable is past due by over 60 days?

Tim has a beginning inventory worth $500,000 in his computer software store and expects to sell $900,000 over a period of six months. He wants to have $400,000 of inventory at the end of the six-month period. Calculate the dollar amount of purchases Tim will need to make over the next six months.

You own a computer repair shop. You owe $35,000 to vendors; you have a ten-year bank loan of $40,000; your bank account balance is $17,000; you own inventory worth $67,000; you have $3,000 in account receivables; and fixed assets are $42,000. What are your total liabilities?

A commercial bank loan is an example of equity capital.

The three most important elements of a company’s financial strength are its revenues, profits, and human resources.

Some customers do not pay for the merchandise they purchase on credit. The amount a company will not receive from these customers is known as depreciation.

Itemizing your startup costs is an important part of determining how much money you need to start your business.

Rules are more specific than procedures.

A business MUST use the accrual method if it has sales of more than $5 million per year.

Two businesses with the same level of sales and expenses will have the same cash flow.

If your bank statement balance is not the same as your check register balance, you should contact your bank immediately.

Successful inventory management involves balancing the costs of inventory with the benefits of having inventory in stock.

Ledgers separate transactions by type; journals separate transactions by account.