WOB Final PowerPoints Flashcards
(55 cards)
Accounts Receivable Turnover Ratio Definition
Amount of time to make accounts receivable into cash
What is an example of Intensive Distribution Strategy?
Coca Cola
Exclusive Distribution Strategy
One or very few outlets in geographic area
Public Corporation
Company where stock is sold to anyone who could buy it
1 Advantage of Corporation
Limited Liability
Sales Promotion
Short term loss to trigger action
Corporate Social Responsibility
When a business cares about society more than money
Dividends must be payed in ——- or —–.
Cash or stock
Which 2 letters of SWOT are internal?
Strength and Weakness
Selective Distribution Strategy
Limited number of outlets
Advertising
Paid form of non personal communication
Penetration Pricing
New products at low price to achieve high sale volume
Which 2 letters of SWOT are external?
Opportunity
Threat
Fixed Order Interval Model
When inventory falls below certain level an order is placed to replenish it
Skimming Pricing
New product at a high price, lower price over time
Balance Sheet equation
Assets = Liabilities + owners equity
Liquidity Ratio definition
Measures firms ability to pay short term obligations
Inventory Turnover Ratio
How long it takes company to change inventory into sales
What 4 things does Equity Financing include?
- voting rights
- dividends
- dividends are non tax deductible
- permanent capital
Name 5 reasons why people start their own company
More control over future Tired of working for someone else New product idea Business goals important on a personal level Unable to find employement
What is an example of Sales Promotion?
Coupon samples and contests
What is the fundamental accounting equation
Assets = Liabilities + owners equity
What is an example of corporate social responsibility?
Donating to charity
What is not reported on a income statement?
Balance Sheet
