December 2010
20 posts
8(A)
A US government program of the Small Business Administration (SBA) that provides assistance to companies owned by socially and economically disadvantaged individuals. The SBA requires businesses to document how they are socially or economically disadvantaged in order to be certified and accepted into the program.
Usage: The US government requires major contractors to subcontract to 8(a)...
accounts payable
Amounts due to vendors for goods or services purchased on credit in the normal course of business. Also called A/P or payables.
Usage: The accounts payable balance increased when we purchased steel from ABC Steel Co.
3 tags
ASAP
As Soon As Possible.
Usage: On his way to the meeting, the manager asked the intern to make copies ASAP.
newco
Commonly used name for a new company that is under consideration and not yet named.
Usage: The newco financials were presented to the meeting of the executives who were considering a merger.
4 tags
Scalability
The ability to rapidly increase, or decrease, the level of sales, production, or volume.
Usage: It is important to consider scalability when developing a new business.
1 tag
Relevant
Information that adds to the quantity and quality of information available for understanding an idea or the choices available.
Example: Decisions need to be made on the basis of relevant information.
3 tags
Marketing
The business discipline associated with all aspects of the product’s or service’s interaction with customers.
Example: Advertising, market research, sales, and sales support are aspects of Marketing.
1 tag
conversion
In marketing, a conversion occurs when a prospective customer takes action to become an actual customer.
Usage: In social marketing, one measure of conversion is when a browser signs up to be on a mailing list.
6 tags
Contribution Margin
Selling price minus all variable costs.
Example: To make a profit, the contribution margin must exceed all fixed costs.
6 tags
Bond
An agreement between 2 parties to exchange cash now in exchange for cash plus interest at a later date.
Example: A bond is way for a company to access cash without a bank loan.
4 tags
COB
Close Of Business. Usually means about 5 pm or when the business closes.
Usage: The manager expected all reports to be on his desk by COB.
401K
A savings plan offered by employers that offers tax advantages.
Usage: The young employees didn’t understand the value of the 401k because the concept of retirement was hard to grasp.
403b
Refers to a retirement savings plan for people (staff and faculty) who work for educational institutions.
Usage: A 403b is similar to a 401K except it is for educators instead of private company employees.
1 tag
AICPA
American Institute of Certified Public Accountants. The organization that sets accounting standards in the United States.
Usage: The AICPA is responsible for specifying generally accepted accounting principles (GAAP).
1 tag
Preferred Stock
A method for selling ownership rights of a business while limiting active participation in the company.
Example: Preferred stock gives holders the right to receive dividends before common stockholders.
1 tag
Common Stock
A method for selling ownership rights of a business.
Example: Common stock gives holders the right to vote on important company issues.
1 tag
risk tolerance
The ability to manage stress and expectations when the outcome of events is unknown.
Usage: Different people have different levels of risk tolerance when it comes to gambling.
1 tag
Tick
A small mark similar to a backwards checkmark that indicates a number has been checked. Word commonly used by accountants.
Example: All of the numbers in the column were ticked except for one.
1 tag
Compensatory Balance
An amount that is required to be kept in your bank account as part of a loan agreement.
Example: The cost of keeping a compensatory balance should be considered when comparing loan costs.
1 tag
choke
Fail to get the job done when under intense pressure.
Usage: The manager was afraid he would choke during the big meeting.