AEM 220 prelim 1 review

AEM 220 prelim 1 review - Natalie Little AEM 220-Review...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Natalie Little AEM 220-Review Wednesday, February 20, 2008 Chapter 1 Business- any activity that seeks to provide goods and services while operating at a profit Profit- amount of money a business earns above and beyond what it spends for salaries and other expenses Entrepreneur- person who risks time and money to start and manage a business Revenue - total amount of money a business takes in during a given period by selling goods and services Loss- business expenses are more than revenue Risk - is chance entrepreneur takes of losing time and money Standard of Living- amount of goods and services people can buy with the money they have Quality of Life- general well being of society Stakeholders- all the people who stand to lose or gain by the policies or activities of a business Outsourcing- assigning various functions such as accounting, production, security, maintenance and legal work to outside organizations NPO- Goals don’t include making a personal profit Factors of Production 1. land/natural resources 2. labor 3. capital 4. entrepreneurship 5. knowledge Business Environment- surrounding factors that either help or hinder the development of a business 1. economic and legal 2. competitive 3. technological 4. social 5. global business Productivity- amount of output per input E-commerce- buying and selling of goods over internet Database- electronic storage file where information is kept Identity Theft- obtaining private information and using it Empowerment- giving frontline workers the responsibility, authority, and freedom to respond quickly to customers Demography- statistical study of the human population Goods- tangible products Services- intangible products Chapter 5 Sole Proprietorship- a business that is owned and usually managed by one person
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Partnership- legal form of business with two or more owners Corporation- a legal entity with authority to act and have liability separate from its owners Unlimited Liability- responsibility of business owners for all of the debts of the business General Partnership- partnership in which all owners share in operating the business and in assuming liability for the business’s debts Limited Partnership- a partnership with one or more general partners and one or more limited partners General Partner- an owner who has unlimited liability and is active managing the firm Limited Partner- an owner who invests money but does not have any management responsibility or liability for losses beyond investment Limited Liability- the responsibility of a business’s owners for losses only up to the amount they invest; limited partners and shareholders have limited liability Master Limited Partnership (MLP)- a partnership that looks much like a corporation (in that it acts like a corporation and is traded on a stock exchange) but is taxed like a partnership and thus avoids the corporate income tax Limited Liability Partnership- a partnership that limits partners’ risk of losing their personal assets to only their own acts and omissions and to the acts and omission of
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

Page1 / 13

AEM 220 prelim 1 review - Natalie Little AEM 220-Review...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online