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  • Financial Concepts - Business Literacy
    Financial Concepts Dictionary Below is a list of financial concepts with their definitions, examples, and a quote from our book Financial Intelligence Use these financial concepts as a quick reference guide, a way to further your own education, or as a resource to train others
  • Capital in Financial Accounting - Business Literacy
    Capital is usually defined in one of two buckets, physical capital and financial capital Having capital is a sign of financial strength, and is used to generate wealth for a company through investments
  • Expenses in Finance | Business Literacy Institute Financial Intelligence
    At some point managers need to understand the statements and how you affect the numbers Learn more about financial ratios and how they help you understand financial statements Our online training provides access to the premier financial statements training taught by Joe Knight Learn finance in a fun and clear way that’s easy and painless
  • Accounts Payable (A P or AP) | Business Literacy Institute Financial . . .
    Accounts payable (A P or AP), or trade payable, is money owed to others for products or services the company has purchased on credit AP is a current liability
  • Cost of Goods Sold Cost of Services Financial Concepts | Business . . .
    Cost of Goods Sold (COGS) also called cost of sales (COS) or cost of revenue The category of expenses directly related to producing a product or service
  • Revenue, Sales, Top Line - Business Literacy
    Revenue (also known as sales) refers to the value of what a company sold to its customers during a given period On the income statement it is the top line (Watch out, though Some companies call that top line “income,” which is wrong Income is the same as profit, also known as the bottom line ) A company typically records a sale (i e , includes it in their income statement) when it
  • Contribution Margin | Business Literacy Institute Financial Intelligence
    (Excerpts from Financial Intelligence, Chapter 9 – The Many Forms of Profit) Contribution margin is sales minus variable costs It shows the profit you are earning on what you sell before you account for fixed costs Contribution margin shows you the aggregate amount of margin available after variable costs to cover fixed expenses and provide profit to the company In effect, it shows you
  • Allocations in Financial Accounting - Business Literacy
    Book Excerpt: (Excerpts from Financial Intelligence, Chapter 2 – Spotting Assumptions, Estimates, and Biases) Accountants use accruals and allocations to try to create an accurate picture of the business for the month
  • Buying Back Stock | Business Literacy Institute Financial Intelligence
    When a company buys back their shares from the marketplace it is called buying back stock, or share repurchase Companies buy back stock for several reasons
  • Income Statement | Business Literacy Institute Financial Intelligence
    Enroll in Online Financial Training today, it's only $99 Enroll in the Training Now! Looking for training on the income statement, balance sheet, and statement of cash flows? At some point managers need to understand the statements and how you affect the numbers Learn more about financial ratios and how they help you understand financial





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