DECA vocab
Derivative | Financial contract between 2+ parties, value based on performance of asset (ex. stocks, bonds, interest rates) |
Employee Turnover | Percent of employees that leave company (fired or quit) over specific period (month, yr, quarter) |
Data Mining | Finding hidden trends & valuable insights from large datasets using computer based methods like classification, anomaly detection (finding outliers in data), regressions (relationships w/variables) |
Acquisition Target | business/asset that a buyer plans to purchase partially or completely |
acquisitions | company buying other companies (ex. Amazon buys whole foods) |
Bond | Fixed-income debt security issued by company (borrower) to investors (lender), company pays interest to investors |
Business litigation | Legal process of resolving disputes like broken contract, fraud, profit share disputes, unauthorized use patents/copyright |
Legal Leveraging | Using borrowed money (debt) to increase potential ROI |
Legal Segmentation | Dividing company operations/assets to distinct categories |
Legal Due Diligence | audit process to investigate companies risks before finalizing an acquisition/major transaction |
Depreciation | Accounting method to spread cost of physical asset over useful life |
Direct Reports | Employee who reports directly to manager |
Indirect Reports | Employee who works 2+ lvls below manager, reports to supervisor who reports to manager |
Extend credit | Allowing delaying of loan/asset payments |
Legal entity | individual/company with distinct legal rights/duties separate from its owners |
Joint venture | 2+ parties combine resources/$/expertise to complete specific goal while remaining legally independent |
General partnership | 2+ people co-manage business and share all profits, losses & liabilities |
corporation | Owned by shareholders who elect board of directors to set long term goals, monitor risks & hire management teams to run daily operations |
Project scope | Identify specific goals/tasks, deliverables (results), boundaries |
Cash rebate | Partial refund to buyer after transaction completed |
Cash reconciliation | Checks accuracy of financial statements to prevent fraud by comparing internal accounting records w/external sources |
Monetary policy | Strategies used by nation bank to manage $, expansionary (loose) lowers interest to grow economy/inflation, contractionary (tight) raises interest to slow economy and reduce inflation |
Qualitative data | Characteristic focused (customer feedback, employee reviews) |
Quantitative data | Number focused (metrics, stats, profit margins, website traffic, turnover rates) |
Market segmentation | Dividing broad target market to smaller groups of consumers for easier management and personalized ads |
mirroring | Unconsciously mimicking someone's body language/speech |
Sales Quota | Specific measurable goal assigned to individual sales rep or team with time base |
Oral presentation | Bringing idea to someones attention |
Operating cash flow | revenue from daily operations |
Free cash flow | measure of companies performance (operating cash flow-capital expenditures) |
dividends | portion of revenue given to shareholders |
Capital expenditures | money spent on long term assets (equipment, buildings, property) |
Sovereign immunity | gov cant be sued in court w/out permission, affects businesses operating in foreign countries |
Eminent domain | Legal power of gov to seize private property for public use w/out owner consent |