Definitions - Final Exam - Chptrs 14, 15, 16, 17 Flashcards Preview

Intro Business 2 > Definitions - Final Exam - Chptrs 14, 15, 16, 17 > Flashcards

Flashcards in Definitions - Final Exam - Chptrs 14, 15, 16, 17 Deck (74):
1

Data

raw facts and figures that may or may not be meaningful to a business decision

2

Information

Knowledge gained from processing data

3

Information System

Organized method for collecting, storing and communicating past, present and projected information on internal operations and external intelligence

4

(CIO) Chief Information Officer

Executive responsible for managing a firms information systems and related computer technologies

5

Computer Based Information Systems

Information systems that use computer and related technologies to store information electronically in an organized, accessible manner

6

Database

Centralized integrated collection of data resources

7

Operational Support Systems

Information systems designed to produce a variety of information on an organizations activities for both internal and external users

8

Transaction processing systems

Operational support systems that record and process data from business transactions

9

Process Control Systems

Operational support systems that monitor and control physical processes

10

Management Support Systems

Information systems designed to provide support for decision making

11

(MIS) Management Information Systems

Information systems that produces reports for Managers and other professionals

12

(DSS) Decision support systems

Information systems supporting business-people during decision making process

13

(ESS) Executive Support Systems

Information systems that lets senior executives access to firms primary database, often with a computer or voice recognition

14

Expert System

Computer program that imitates human thinking through complicated sets of "if-then" rules

15

Hardware

Tangible, Physical elements of a computer system

16

Server

Heart of mid-range computer network

17

Software

Programs, routines and languages that control a computer and tell it how to operate

18

(LANs) Local Area Networks

Computer Networks that connect machines within limited access such as buildings or several nearby buildings

19

(WANs) Wide Area Networks

Computer networks that tie larger geographical regions together by using telephone lines and microwave and satellite transmission

20

WIFI

Wireless network that allows multiple devices to connect and communicate with one another through radio waves

21

Intranet

Computer network similar to internet but limits access to authorized users

22

Firewall

Security system for computers that limits data transfers to certain locations. Tracks system use so Managers can identify security threats, including attempts to log on with invalid passwords

23

(VPNs) Virtual Private Networks

Secure connections between two points on the internet

24

VoIP

Alternative communication method that uses the internet to transmit messages as opposed to phone lines

25

Malware

malicious software designed to infect computers

26

Viruses

Malicious software programs that attach themselves to programs (called hosts) and change them or destroy data

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Worm

Small piece of software that uses a security hole in a network to replicate itself

28

Botnet

Network of PCs that have been infected with onr or more data-stealing viruses

29

Trojan Horse

A program that claims to do one thing but in reality does something else usually malicious in nature

30

Spyware

Software that gathers user information through the users internet connection without his/her knowledge, usually for advertising purposes

31

(ASP) Application Server Provider

Outside supplier that provides both the computers and the application support for managing an information systems

32

On-demand computing

Use of software time from application providers. Firms pay for the amount of use not for purchasing or maintaining.

33

Cloud Computing

Use of powerful servers to store software applications and databases that users access by using internet-connected device, such as PC or smartphone

34

Grid computing

Network of smaller computers that run special software

35

Accounting

Process of measuring, interpreting and communication financial information to support internal and external business decision making

36

Public Accountant

An accountant who provides accounting services to other organizations

37

(GAAP) General accepted accounting principles

principles that outline to conventions, rules and procedures for deciding on the acceptable accounting practices at a particular time

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(AcSB) Accounting Standards Board

Organization that interprets and modifies GAAP in Canada for private and not-for-profit businesses

39

(IFRS) International Financial Reporting Standards

Standards and Interpretations adopted by the IASB

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(IASB) International Accounting Standards Board

Organizations that promote world wide consistency in financial reporting practices

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(FASB) Financial Accounting Standards Board

Organization that interprets and modifies GAAP in the U.S.

42

Corruption of Foreign Officials Act

Federal Law that prohibits Canadian citizens and companies from bribing foreign officials to win or continue business

43

Accounting Cycle

Set of activities converting information and individual transactions into financial statements

44

Asset

Anything with future benefit owned or controlled by a firm

45

Liability

Claim against a firms assets by creditors

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Owners Equity

Funds that owners invest in the business plus profits not paid to owners in the form of cash dividends

47

Accounting Equation

relationship that should reflect a firms financial position at any time; assets should always equal the sum of liabilities and owners equity

48

Double-entry Bookkeeping

Process used to record accounting transactions; each individual transaction is always balanced by another transaction

49

Balance Sheet

Statement of a firms financial position, what it owns and claims against it's assets - at a particular point in time

50

Income Statement

Financial record of a Company's revenues, expenses and profits over a specific period

51

Statement of changes in equity

record of the change in equity from the end of one fiscal period to the next fiscal period

52

Statement of cash flows

record of the sources and uses of cash during a period of time

53

Accrual Accounting

Accounting method that records revenues and expenses when they occur, not when cash actually changes hands

54

Budget

An organizations plans for how it will raise and spend money during a specific period of time

55

Financial System

mechanism by which money flows from savers to users

56

Securities

Financial instruments representing the obligations of the issuers to provide the purchasers with the expected stated returns invested or loaned

57

Common shares

the basic form of corporate ownership

58

Financial Markets

Markets where securities are issued and traded

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Primary Markets

Financial markets where firms and governments issue securities and sell them initially to the general public

60

Secondary Market

Collection of financial markets where previously issued securities are traded amongst investors

61

Stock Market

Market where shares of stock are bought and sold by investors

62

Financial Institutions

Intermediaries between savers and borrowers that collect funds from savers then lend the funds to individuals, businesses and governments

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(CDIC) Canadian Deposit Insurance Corporation

Federal agency that insures deposits at commercial and savings banks

64

Bank of Canada (the Bank)

The central Bank of Canada

65

Insider Trading

Use of material, nonpublic information about a company to make investment profits

66

Finance

Business function of planning, obtaining and managing the companies funds to accomplish it's objectives as efficiently as effectively as possible

67

Financial Managers

Executives who develop and carry out their firms financial plan and decide on the most appropriate sources and uses of funds

68

Risk-return tradeoff

process of maximizing the wealth of a firms shareholders by striking the right balance between risk and return

69

Capital Structure

Mix of a firms debt and equity capital

70

Leverage

increasing the rate of return on funds invested by borrowing funds

71

Venture Capitalists

Business firms or groups of individuals that invest in new and growing firms in exchange for an ownership share

72

Tender Offer

Proposal made by a firm to the target firms shareholders specifying a price and the form of payment

73

LBOs - Leveraged Buyouts

Transactions where public shareholders are bought out and the firm reverts to private status

74

Divestiture

The sale of assets by the firm