FBLA Intro to Business Concepts (Knowt)

1800s

When was the Industrial Revolution?

60 days

When an item is not received or returned and the item is billed to the customer's credit card, the customer has 60 days to dispute it.

Accounting department

Measures and provides financial information about an organization primarily for its decision makers, investors, and taxing authorities.

Accounting equation

Assets = Liabilities + Owner's Equity.

Accounts receivable

Total amount of money owed to a business.

Advertisements

Promotional messages and campaigns used to promote products or services to consumers.

Aka 'language of business'

Accounting.

An entrepreneur

Someone likely to profit from society's changing wants and needs.

Angel investors

Individuals who provide capital for startups in exchange for ownership equity or convertible debt.

Asset

Anything of value that is owned.

Balance of trade

The difference between a country's total exports and total imports.

Balance sheet

A financial statement that reports assets, liabilities, and owner's equity on a specific date.

Banking

Utilizing financial institutions for money management.

Better business bureau

Organization promoting trust in marketplace transactions.

Brand

Name given to a product or service to distinguish it from other similar competitive items.

Brick and mortar

Actual buildings, such as stores and warehouses.

Budgets

Financial plans that allocate resources, estimate income, identify expenses, set priorities, monitor spending, and make adjustments.

Business careers

Occupations in management, marketing, finance, human resources, entrepreneurship, and consulting requiring specific personal qualities and skills.

Business functions

Activities such as production, marketing, finance, human resources, and operations management.

Business goals

Objectives such as profitability, growth, customer satisfaction, innovation, and social responsibility.

Business organization

Structure and characteristics of businesses.

Business ownership types

Includes sole proprietorships, partnerships, corporations.

Business ownership

Legal structure of a business, such as sole proprietorship, partnership, corporation, or limited liability company.

Business plan

Document outlining business goals, strategies, and operational details to facilitate growth and success.

Business trends

Patterns and shifts in technology, consumer behavior, globalization, sustainability, and regulatory environments.

Capital resources

The tools, equipment, and buildings that are used to produce goods and services.

Capitalism

Profit, private property, freedom of choice, and competition.

Career awareness

Understanding various career options and paths.

Cash flow statement

A summary that shows total income and spending for a given time period.

Click and mortar

Businesses sell products both on Internet and in stores.

Clearance sale

Sale to clear out excess inventory or discontinued items at significantly reduced prices.

Collision coverage

A type of insurance that protects a car owner against financial loss resulting from a wreck or rollover.

Comparative shopping

Evaluating products or services from different sellers to find the best value, quality, and price.

Competition

Rivalry between businesses to attract customers by offering better products and services at competitive prices.

Computer operating system

Maintains files, runs software applications, and handles devices such as a computer mouse and printer.

Consumer behavior

Actions and decision-making processes of individuals or households regarding the purchase and use of goods and services.

Consumer information

Data and insights about products, services, and market offerings available to the public.

Consumerism

Understanding consumer rights and responsibilities.

Corporate charter

A legal document that the state issues to a company based on information the company provides in the articles of incorporation (license to run a business).

Crowdfunding

Raising funds from a large number of people, typically via the internet, for a project or venture.

Current assets

Cash, supplies, merchandise, accounts receivable.

Debt financing

Raising capital through loans that require repayment with interest.

Disposable income

Income remaining for a person to spend or save after all taxes have been paid.

E-commerce

Buying and selling of goods and services over the internet, impacting business models and consumer behavior.

Economic indicators

Statistics measuring economic performance and trends.

Economic systems

Methods societies use to allocate resources.

Egoism principle

The idea that the right thing for a person to do in any situation is the action that best serves that person's long-term interests.

Embargoes

Official bans on trade with specific countries.

Employee morale

Overall job satisfaction and motivation of employees in the workplace.

Employee rights

Entitlements of employees in the workplace.

Entrepreneurial resources

People who start business to produce goods and services satisfy wants and needs.

Equal employment opportunity

Laws prohibiting discrimination in hiring, promotion, and employment practices based on various factors.

Equity financing

Raising capital by issuing shares of ownership in a company.

Ergonomics

Design factors for the workplace that are intended to maximize productivity by minimizing a worker's discomfort.

Evaluate demand

What must a business do when developing new products or services?

Express money order

Money order typically issued by travel agencies, supermarkets, pharmacies, and convenience stores.

Factors affecting business profit

Revenue, costs, pricing strategies, competition, market demand, economic conditions, and operational efficiency.

Factors of production

Natural, labor, capital, and entrepreneurial resources.

Fax machines

Invention inspired by the telephone.

Federal reserve system

Central banking system of the United States responsible for conducting monetary policy and supervising banks.

Federal trade commission

Agency enforcing consumer protection laws, regulating antitrust practices, and promoting competition.

Financial elements

Factors such as price, income, savings, credit availability, and interest rates influencing consumer behavior.

Financial statements

Reports like balance sheets and income records.

Fixed expenses

Costs that remain constant each month, such as rent or mortgage payments.

Franchise

A business established or operated under an authorization to sell or distribute a company's goods or services in a particular area.

Free enterprise system

Economic system allowing private ownership and competition.

Future of the workforce

Factors such as technological advancements, demographic shifts, globalization, and changing skill requirements impacting the labor market.

Global business

International trade and business operations.

Global competition

Rivalry among businesses across international markets.

Government regulation

Rules and standards set by the government to ensure public safety, fair competition, and consumer protection.

Gross profit

Revenue minus cost of goods sold.

Gross profit margin

A measure of profitability that shows the percentage of revenue that exceeds the cost of goods sold.

Hypertext

Computer language that allows Internet users to access stored images, texts, and other files.

Implied warranty

Warranty imposed by law and understood to apply even though it has not been stated.

Income statement

Financial statement summarizing revenues, expenses, and profits over a period.

Increased taxation

Results in lowering inflation.

Information

What is the current emphasis in the U.S. economy?

Inflation

Increase in the general level of prices.

Insurance

Risk management through financial protection policies.

Insurance types

Includes home, life, medical, and liability insurance.

Investments

Allocating resources for future financial returns.

Job application

Form providing personal and employment information required by employers for job consideration.

Job interview strategies

Preparation and conduct during interviews to present qualifications and suitability for a job position.

Key economic terms

Terms such as supply, demand, inflation, GDP, unemployment rate, fiscal policy, monetary policy, and opportunity cost.

Labor resources

People who produce goods and services.

Liabilities

Amounts owed to creditors.

Local government

Police and fire protection are usually provided by local government.

Macroeconomics

Focuses on economies' performance—changes in economic output, inflation, interest and foreign exchange rates, and the balance of payments.

Mainframe

Fast, powerful computer with a large storage capacity.

Management's most important job

Achieving goals by planning, controlling, and evaluating the effective use of resources.

Market

A group of customers who share common wants and needs.

Marketing department

Supports sales by planning, pricing, and promoting goods or services.

Mentor

Experienced worker in an individual's field of interest.

Microeconomics

The study of individual pieces that together make an economy.

Microprocessor

A small computer chip, aka the brain of a computer.

Monetary policy

Management of money supply and interest rates by a central bank to achieve stable prices, low unemployment, and economic growth.

Multi-channel retailer

A company that uses several means to sell products.

NAFTA

North American Free Trade Agreement; allows open trade with US, Mexico, and Canada.

Net income

The difference between total revenue and total expenses when total revenue is greater.

Net profit

Total revenue minus all expenses including operating expenses, taxes, and interest.