BA Final

Articles of Incorporation

A document that includes a firm's name, address, purpose, stock details, duration of existence, and registered agent's information.

Articles of Partnership

A document that outlines the names of partners, business address, nature of business, partner duties, investments, and profit-sharing.

Sole Proprietorships

A business that is owned and usually operated by one person.

S-corps

A corporation that is taxed as though it were a partnership.

Non-profit

A corporation organized to provide a social, religious, or other service rather than to earn a profit.

Inflation

A general rise in the level of prices.

Deflation

A general decrease in the level of prices.

Capitalism

An economic system where individuals own and operate the majority of businesses providing goods and services.

Mixed Economy

An economy that exhibits elements of both capitalism and socialism.

Socialism

An economic system where key industries are owned and controlled by the government for more equal distribution of wealth.

Communism

An economic system where the means of production are controlled by the community or the state, aiming to eliminate private property.

Financial Ratio

A number that shows the relationship between two elements of a firm’s financial statements.

Current Ratio

A financial ratio computed by dividing current assets by current liabilities.

Income Statement

A summary of a firm’s revenues and expenses during a specified accounting period.

Statement of Cash Flows

A statement illustrating how the company’s operations, investments, and financing activities affect cash during an accounting period.

Dividends to Stockholders

A distribution of earnings to the stockholders of a corporation.

Product Mix

All the products a firm offers for sale.

Product Line

A group of similar products that differ only in relatively minor characteristics.

Sustainability

The ability to maintain conditions under which present and future generations can coexist.

Consumerism

Activities undertaken to protect the rights of consumers.

Leading

The process of influencing people to work toward a common goal.

Planning

Establishing organizational goals and deciding how to accomplish them.

Controlling

The process of evaluating ongoing activities to ensure that goals are achieved.

Motivating

Providing reasons for people to work in the best interests of an organization.

Quality Circle

A team of employees that meets to solve problems of product quality.

B2B Model

A business-to-business model used by firms that conduct business with other businesses.

B2C Model

A business-to-consumer model used by firms focusing on individual consumers.

Job Enlargement

Expanding a worker’s assignments to include additional similar tasks.

Job Rotation

The systematic shifting of employees from one job to another.

Job Analysis

A systematic procedure for studying jobs to determine their various elements and requirements.

Performance Appraisal

The evaluation of employees’ performance to make objective human resource decisions.

Multinational Corporation (MNC)

A firm that operates on a worldwide scale without ties to any specific nation.

Chain of Command

The line of authority that extends from the highest to the lowest levels in an organization.

Span of Management

The number of workers who report directly to one manager.

Five Stages of Team Development

Forming, Storming, Norming, Performing, Adjourning.

Socioemotional Role

The role focused on supporting the emotional needs of team members.

Task Specialist

A group member who pushes the team toward achieving its goals.

Delegating

The act of assigning tasks to others.

Liquid Assets

Assets that can be easily and quickly converted to cash with minimal loss in value.

Balance Sheet

A summary of a firm’s assets, liabilities, and owners’ equity at a specific time.

Owner's Equity

The difference between a firm’s assets and its liabilities.

Pros of Teamwork

More creativity, problem solving, and shared responsibility.

Cons of Teamwork

Potential conflict, workload distribution issues, and time management challenges.

Maslow's Hierarchy

A sequence of human needs ranked by importance, physiological to safety needs to Social needs to Self-esteem to self-actualization.

OSHA

Occupational Safety and Health Administration; regulates employee exposure to hazardous substances.

NAFTA

North American Free Trade Agreement; eliminated tariffs on goods among the three nations.

ADA

Americans with Disabilities Act; prohibits discrimination against individuals with disabilities.

NLRB

The federal agency that enforces the provisions of the Wagner Act.

EEOC

The agency that investigates complaints of employment discrimination.

EPA

Environmental Protection Agency; enforces laws to protect the environment.

ADEA

Age Discrimination in Employment Act; protects workers aged 40 and older from discrimination.

FTC

Federal Trade Commission; investigates illegal trade practices and enforces antitrust laws.

CAD

The use of computers to aid in product development.

CIM

Computer Integrated Manufacturing; involves design and production processes.

Financial Resources

Money and electronic payments for e-business firms.

Human Resources

People skilled in designing, creating, and maintaining websites.

Material Resources

Physical resources like computers and high-speed internet.

Informational Resources

Data and information systems necessary for decision-making.

System Resources

Tools used by a business to perform normal activities.

ROI (Return on Investment)

A metric used to evaluate investment performance.

Joint Ventures

An agreement between two or more groups to form a business entity.

Goodwill

An intangible asset associated with the purchase of one company by another.

Salary

A fixed amount of money paid for an employee's work.

Benefits

Additional rewards influencing employees to remain with a company.

Centralization

Decision-making concentrated in a single location.

Decentralization

Distributing decision-making power to multiple locations.

Departmentalization

Grouping jobs into manageable units.

Continuous Process Manufacturing

A manufacturing process that is uninterrupted from start to finish.

Premiums

Fees charged by an insurance company.

Rebates

A return of part of the purchase price of a product.

Direct Mail

Advertising delivered via physical mail.

Coupon

A discount that reduces the retail price of an item.

Sampling

Selecting a small group from a larger population for data collection.

Hertzberg Motivation

A theory that increases workforce motivation through recognition and responsibility.

Hygiene Factors

Job factors that reduce dissatisfaction but do not necessarily increase motivation.

Physiological needs

the things we require to survive. They include food and water, clothing, shelter, and sleep.

Saftey needs

the things we require for physical and emotional security 

Social needs

the human requirements for love and affection and a sense of belonging

Self-esteem

we require respect and recognition from others and a sense of our own accomplishment and worth (self-esteem).

self-actualization

the need to grow, develop, and become all that we are capable of being

Forming

The team is new. Members get to know each other

Storming

the team may be volatile. Goals and objectives are developed

Norming

The team stabilizes. Roles are duties are accepted and recognized

Performing

The team is dynamic. Everyone makes a focused effort to accomplish goals

Adjourning

The team is finished. The goal had been accomplished, and the team is disbanded. 

Proxy

a legal form listing issues to be decided at a stockholders’ meeting and enabling stockholders to transfer their voting rights to some other individual or individuals