Financial Aspects Of Business 32 Correctly Answered Questions Latest Update

Equity {Ans: net worth; assets minus liabilities}Entrepreneurship {Ans: process of starting your own business}General Partnership {Ans: partners share in the profits and losses of the business; both are equally liable for company debts}Franchise {Ans: an agreement to operate a business in the name of an established company}Current Assets {Ans: assets expected to convert to money within the year}Limited Partnership {Ans: partners have an unequal share and liability in the business; they are responsible only for the amount they invested}Personal Financial Statement {Ans: summary of your current personal financial condition}Natural Risks {Ans: risks occurring from natural disasters such as floods, droughts and tornadoes}Economic Risks {Ans: risks occurring from fluctuations in business conditions such as competition, inflation, recession or government policies}Long-term Liabilities {Ans: debts not expected to be paid off within the year}Start-up Cost {Ans: a projection of what it will cost for the first year of operation}Risk Management {Ans: process of analyzing exposure to risk and determining how to best handle such exposure}One-time Costs {Ans: costs which will not be repeated after a business is operating}Insurance Policy {Ans: contract between a business and an insurance company covering