Flashcards in Chapter 8: Finance Deck (14):
Profit kept in the business after tax and dividends have been paid.
Sale and Leaseback
Selling an asset, such as a building, to a leasing company and paying an annual leasing charge so that the asset can still be used.
Profit and Loss Account
This shows whether the business made a profit or loss over the last period. It is also known as the income statement.
The value of goods sold.
Cost of Sales
The cost to the business of the goods sold.
The difference between sales revenue and cost of making the products sold.
Expenses of the business that are not directly part of the production process.
The difference between sales revenue and the total costs of the business.
Gross Profit Margin
The percentage of sales revenue that is gross profit.
Net Profit Margin
The percentage of sales revenue that is net profit.
This lists the value of a company's assets and liabilities.
Item of value owned by a business.
Debts owned by a business.