Entrepreneurship - Ch. 9 Review (Plan and Track Your Finances)

The relation btwn the dollars you have borrowed & dollars you have invested in your business

Transactions are recored when the order is placed, item delivered, or service provided.

A ___ is any business activity that changes assets, liabilities, or net worth.

Venture capitalists are individuals/companies that make a living investing in startup companies

Lists what a business owns, what it owes, & how much it is worth at a particular point in time.

Describes the way cash flows into and out of your business over a period of time.

Money invested in a business in return for a share in the profits of the business.

Money loaned to a business that needs to be repaid, usually with interest.

Collateral is property that the borrower forfeits if he or she defaults on the loan.

The difference between what you own, called assets, and what you owe, called liabilities.

Journals are accounting records of the transactions you make.

An acct. record that provides financial detail for a particular business item, such as cash.

Shows the business's revenues and expenses incurred over a period of time and profit or loss.

Revenue is not recorded until cash is actually received and expenses are actually paid.

A payroll is a list of people who receive salary or wage payments from a business.