UNC BUSI 100

Who said: "So long as men live together on earth and need means to deal with one another- their only substitute, if they abandon money, is the muzzle of a gun"

Ayn Rand

Who said: "To form a functioning society there is a list of trade-offs"

Plato

According to Thoreau, which of the following is the choicest of relics?

Books

Who says: "The manager is the ___________ of the individuals who own the corporation and the primary responsibility is to them" and fill in the blank

Friedman, Agent

Plato felt that the fundamental key in the development of an economy was

Specialization: more things are produced and better and more easily when one man performs one task

The insider ownership % for most large firms in the US is..

0-10%

According to Ayn Rand, what is wealth the product of?

Man's capacity to think

Michael Porter's Five Forces Model

Identifies the fundamental factors that determine the level of competition and long-term profitability of an industry by analyzing an organization, its position in the marketplace, and how information systems could be used to make it more competitive

Assets

Liabilities + Stockholders Equity (Cash+amount left on rent+amount left of equipment+ (revenue-collected))

Intangible Assets

Long-term assets (e.g., patents, trademarks, copyrights) that have no real physical form but do have value

The process of systematically collecting, analyzing, and reporting financial information is called

Accounting

Present Value (PV)

Future value divided by (1 + required rate of return) raised to the power of the number of periods.

Accounts Payable

Debt owed to suppliers for goods or services purchased on credit

Without ___________, _____ indicates that it is impossible for merchants "to conduct their business, for they would have no rest and their minds would always be troubled."

Systematically arranging all transactions, Pacioli

What does Pacioli indicate as being the most important factor in carrying on business?

Cash

Who believes that there is a connection between the exactness of a trade person's bookkeeping and the tradesperson's prosperity.

Daniel Defoe

Who suggested that money is symbolic of a society's moral values?

Ayn Rand

Who said: "A tailor won't try and make his own shoes he will buy from a shoemaker"

Adam Smith, good trade benefits both people in different way

What did Defoe believe useful to consider when conducting business?

Everything done in the conduct of the business should be set down in a book and every transaction should be recorded in the books at the very time it occurs

Andrew Carnegie believes that the people with extraordinary wealth have a duty to:

Administer their wealth while alive "to produce the most beneficial results for the community"

Who said: "Let us define the investment value of a stock as the present worth of all the dividends to be paid upon it. In short, a stock is worth only what you can get out of it"

John Burr Williams

Who argues that true wisdom comes from learning and experiences and observations?

Bacon

Who believes money is symbolic of a society's moral values?

Ayn Rand

Who believes that most of his townsmen have learned to read, not only to keep accounts and not be cheated in trade, but also as a noble intellectual exercise.

Thoreau

Who argues that modern society is too focused on material possessions and that we should prioritize our spiritual and intellectual well-being instead?

Thoreau

Who argues that justice is not only desirable but is also necessary for the well-being of individuals and society as a whole?

Plato

Who talks about the individual hand when individuals act in their own self-interest in a free market, they unintentionally contribute to the greater good of society as a whole?

Smith

Who says people who invest money and take business risks should be rewarded with profits?

John Stuart Mill

Who thinks government should only intervene to promote the well-being of society as a whole?

John Stuart Mill

Who talks about importance of hardwork and diligence and customer-focused approach to business?

Daniel Defoe

Who says government has a responsibility to ensure a level playing field to prevent monopolies but no excessive regulation?

Daniel Defoe

Who says the primary responsibility of a business is to maximize profits for its shareholders?

Friedman

Who says the accumulation of wealth by individuals is necessary for the progress of society?

Andrew Carnegie

Who says the wealthy have a responsibility to use their wealth for the greater good?

Andrew Carnegie

Who thinks education is imperative for African Americans to achieve equality and social mobility?

WEB Du Bois

Who thinks government intervention and regulation has stifled innovation and productivity?

Ayn Rand

Who thinks people should be free to pursue their own goals and values without interference from the government or society?

Ayn Rand

Who says: "The works of the great poets have never yet been read by mankind, for only great poets can read them"

Thoreau

Pacioli indicates that the purpose of every merchant is to

make a profit

What are 3 things needed by any one who wishes to carry on business carefully according to Pacioli?

Arranging transactions in a systematic ways, cash, and being a good bookkeeper and ready mathematician

What activity is Thoreau discussing when noting that we should do it by standing on tiptoe and devoting our most alert and wakeful hours to it?

Reading

Du Bois's says the value of farms decreased because...

the emancipation of the slaves led the present value of cash flows for those farms to decrease because the cost of labor increased

In Plato's The Republic, who or what is the "true creator" of a State?

Necessity

How does Rand view the American idea of "making money"?

Positively, since this removes the static idea of wealth and allows financial mobility

Francis Bacon says the pros of usury (charging an illegal rate of interest) is...

It facilitates debt capital because it would be foolish to think of borrowing without making a profit

What do Smith and Plato agree on?

The foundations of trade and specialization

What do Smith and Plato disagree on?

How people are assigned their tasks and how the work is divided amongst society.

Who believes humans are never satisfied and humans always want more?

Smith

Who thinks increased specialization leads to greater productivity and efficiency?

Smith

Who thinks the division of labor is a natural consequence of self-interest and market forces, as individuals seek to maximize their own well-being?

Smith

Who advocates for a highly regulated and centrally planned economy where the state controlled the division of labor?

Plato

Who believed that individuals should be assigned to specific roles in society based on their inherent abilities and virtues, as determined by the state?

Plato

Who says the division of labor should not driven by individual choice but dictated by the state's authority and its vision of the common good.

Plato

Who thinks specialization allows workers to focus on tasks suited to their skills and interests?

Smith

Who says: "business as a whole cannot be said to have responsibilities"

Friedman

Who thinks we should recognize each transaction at a glance, in terms of the value it creates?

Pacioli

Who thinks a stock derives its value from its dividends, not its earnings?

John Burr Williams

According to john burr williams, what do all prices ultimately depend on?

Someone else's future income

Net Present Value (NPV)

Write out the years given, put cash flows under each year, divide each by the discount rate^(power of the year), add them up, take out the initial cash flow at beginning of problem

Who says: "The head of the merchant has a hundred eyes, and still they are not sufficient for all he has to say or to do."

Pacioli

Who thinks specialization leads to needing more things?

Plato

Operations Cash Flow

(Rent)(wages)+ collected money

Who says debt can be linked to the inefficient economies of the "slave regime"?

Du Bois

Who says debt came to a greater crisis due to the emancipation of slaves?

Du Bois

Who says debt refers to the populations struggle covering expenses with income?

Du Bois

Adam Smith writes that "The general industry of the society can never exceed _______."

What the capital of the society can employ

Who argues that as a society, we have become underbred, low-lived, and illiterate?

Thoreau

Who argues that the number of physicians needed will increase as a society becomes more luxurious?

Plato

Who says: "he intends only his own gain, and he is in this led by an invisible hand to promote an end which was no part of his intention"

Smith

Who thinks that individuals should have the freedom to think and express themselves as they choose and that's essential for human progress?

John Stuart Mill

Who thinks that a just society should provide a safety net for the poor and vulnerable while also providing incentives for individuals to work hard and contribute to the economy?

John Stuart Mill

Who thinks competition is important and that individuals should be rewarded for their efforts and abilities?

John Stuart Mill

Equity stake worth on date

How much he invested+other equity from investors. Sort the investment, get to the year, take out the debt, then take the percent the person owns

Who emphasizes that wealth should be considered a means to an end rather than an end in itself?

Bacon

Who is against the single-minded pursuit of wealth

Bacon

Who thinks some individuals become arrogant or corrupt when they acquire substantial wealth?

Bacon

Who thinks people should strive for a balance between material success and personal well-being

Bacon

Who wants reasonable interest rates?

Bacon

Who thinks governments should play a role in regulating usury to ensure that it serves the public interest?

Bacon

Who emphasizes the importance of competition and economic regulation to prevent excessive accumulation of wealth and ensure a fair distribution of benefits across society?

John Mill

John Stuart Mill Beliefs

1. People who invest money and take business risks should be rewarded with profits.

2. Competition in the market is good because it keeps businesses honest and efficient.

3. There should be rules to make sure that a few people don't get extremely rich while others struggle, so profits benefit more people in society.

Thoreau Beliefs

1. Most people read just to protect themselves in business, not for the joy of learning

2. Books are choice of relics but now society has become illiterate and ignorant.

4. Be more self-sufficient and dont depend too much on institutions.

Plato Beliefs

1. People should do the jobs that match their skills and talents.

2. Govt intervention is necessary for the common good