another in some respects,

then they probably will agree

Assets
in others.
thing you own
Angle
Absolute value
Formed by two rays with a
The distance a number is
common endpoint
from zero on a number line
Area
Accurate
The amount of surface
The process used to find
enclosed by a geometric
sizes, quantities, or amounts.
figure
Amortization Period
the length of time until the
debt is zero

Amortization Schedule
a chart that shows the
balance of the mortgage
after each amortization
period

Analogy
A conclusion that if two or
more things agree with one

Back charge
item previously charged to
an account but unpaid. The
current invoice requests
payment of the previous
charge as well as of current
charges
Back door listing
a method that a company
which failed to get listed on
the stock exchange acquires
and merges with a company
that is already listed on that
exchange, thereby getting
‘back door’ listing
Back up
to make a duplicate copy of
original data or files usually
stored on a separate data
storage medium
Backlog
used to refer to the value of
the unfilled orders placed
with a company
Backward vertical
integration
merging with a firm involved
with the previous stage of
production
Bad debt
account or note receivable
that proves to be entirely or
partially uncollectible
despite collection efforts
Balance
the equality of total debits
and total credits of all
accounts in a general ledger
in the preparation of a trial
balance
Balance budget multiplier
the change in income divided
by the tax financed change in
government expenditure
that brought about
Balance of trade
the difference between the
value of visible exports and
the value of visible imports
Balance Sheet
shows the assets, liabilities
and financial position of the
company
Balancing charge
this is a charge that is
calculated when a fixed asset
is sod or disposed of. It may
be an income or expense
item
Balancing item
the estimated net value of
omissions from all other
items recorded on the
balance of payments
accounts
Bar graph
Horizontal or vertical bars
that display data
Base
Tells what factor is being
multiplied in exponential for
Basis
The starting value or used
point in calculating the gain
or loss, depreciation,
amortization and depletion
Batching
The collecting and organizing
of incoming invoices before
processing
Behavioral accounting
approach to accounting that
stresses psychological
considerations in decision
making, also called human
resource accounting
Behavioral theories
which state that business
objectives are determined
jointly by groups of
interested parties
Beneficial owner
refers to the individual who
enjoys the benefits of
ownership even though the
title may be in a different
name
Beneficiary
Individual who will receive
an inheritance upon the
death of another
Benefits principle
the idea that people should
pay taxes based on the
benefits they receive from
government services
Beta
measure of systematic or
diversifiable risk of a stock
Bill
a term typically used to
describe a purchase invoice
Billable
refers to the costs/ or other
expenses that are covered by
the contractual agreement
between two parties that
may be billed
Bond discount
the amount below face value
at which a bond is issued
Bonds distribution of data is divided
loans to companies or into four equal parts.
governments (no voting
Branch accounting
rights)
the accounting for regions
Bonus separated geographically or
usually an extra payment sections of enterprises
made in recognition of the
Break Even Point
contribution a worker has
the point where income and
made to the company
expenses intersect (no loss
Bookkeeping or profit)
accounting support function
Budget
performed by the book
a quantitative economic plan
keeper. Is the most basic of
prepared and agreed in
the accounting duties and
advance. It is used for
requires less education and
planning and control
experience
purposes
Bottom Line Figures
Business decisions
the final figures
these include strategic
Box-and-whisker plots decisions, tactical decisions
Identifies trends and and operational decisions
summarizes information. The
Business entity principle to risks and rewards that are
a firm or business is seen as different from those of other
separate from its owner in of the business segments
the presentation of the final
Business structure
accounts and financial
the way in which a business
statements
is organized
Business ethics
Business valuation
the influence of values and
the price that a hypothetical
beliefs upon the conduct and
buyer would pay for a
operation of the business
business or entity under a
Business plan given set of circumstaces
a statement made by a
business, outlining the way it
will attempt to achieve its
objectives

Business segments
used to refer to a
component of a firm that
may provides a single
products/service or a group
of related products/services
and that is or can be subject

C.P. A
certified public accountant
Capacity
the level of output that
corresponds to the firm’s
minimum short-run average
total cost
Capital (accounting)
the money invested into a
business by the owners
Capital account
a term usually applied to the
owner’s equity in the
business
Capital asset
asset purchased for use in
production over long periods
of time rather than for resale
Capital budget
plan of proposed
acquisitions and
replacements of long-term
assets and their financing
Capital charge
is an amount of money that
is normally arrived at by the
calculation of the money of
the firm has invested in
capital multiplied by the
weight average cost o9f
capital.
Capital consumption
see depreciation another
name for the same concept
Capital cost allowance
the depreciation of an asset
as an expense
Cash discounts
offered to encourage
customers to pay their bills
on time
Capital expenditure
money spent on fixed assets
which will last for more than
one year
Capital flight
the movement of financial
capital overseas following
domestic problems.
Capital gain
the profit made by selling a
share/ asset for more it was
bought for
Capital goods
goods that are use of other
goods
Capital intensive
refers to production
processes that require
predominately man-made
resources
Capital lease
one in which the lease
obtains significant properly
rights
Capital loss
refers to the higher purchase
price above the sale price
when the fixed are sold. The
loss often given different or
a special different treatment
for tax purposes
Capital maintenance
principle in accounting
Cash flow
amount of money coming in
and going out of your
business monthly
Causation
is the capacity of
one variable to influence
another. The first variable
may bring the second into
existence or may cause
the incidence of the
second variable to
fluctuate.
Circle Graph
A visual shows how data is
divided into categories that
do not overlap
Chain discounts
a series of discount
Commission Rate
An amount of money earned
that is a percent of their
total sales
Commission
The amount of money
received from the sales
Collateral
security for a loan
Common-size statements
financial statements
expressed in percent
Common shares
paid dividends after the
preference shares have been
paid
Complete enumeration
survey
where info is collected for
every unit of the population
Compounded annually
interest is paid once a year
Compounded daily
interest is paid 365 times a
year
Compounded interest
interest calculated on the
principal plus any horizontally and vertically to
accumulated interest check that the totals agree
Compounded monthly
interest is paid twelve times Cross-products
a year The products of multiplying
the numerator of one
fraction with the
Compounded quarterly
interest is paid four times a denominator of the other
year fraction and vice versa
Compounded semi-annually Cubed
A number used as a factor
interest is paid twice a year
three times
Constant
an item of data the stays the
same
Conventional mortgage
the amount of money
borrowed is less than 75% of
the purchase price
Cross-Footing
adding columns of figures

Data
the info collected from a
survey and the figures
generated through statistical
analysis
Decimal system
A system in which you can
convert measurements by
multiplying or dividing by
powers of ten
when as one value increases,
so does the other
Discount
The amount that the regular
price is reduced
Dividend
the number to be divided by
Divisor
the number you are dividing
by

Default
non-payment

Diameter
A segment that passes
through the center of a circle
and is twice the radius

Direct proportion
a number is directly
proportionate to another
Estimation
An approximate measure
when an exact measure is
not necessary or available

Exponent
Tells the number of equal
parts in exponential form

Exponential Form
A number written with a
base and an exponent.

Extension
the total of units multiplied
by the price

Equivalent ratios
If two ratios represent the
same comparison
 Front loaded
the majority of the early
Factoring
payments go toward paying
Finding what factors were
multiplied to obtain the the interest on the loan
product

Fixed costs
costs that remain constant

Foreign currency exchange

a rate that one currency can
be exchanged for another

Foreclosure
the process of repossessing
and selling the real or
personal property when the
borrower has defaulted

Fractions
parts of a whole number

Frequency Table
Shows how often an item
appears in a set of data
Greatest Common Factor
(GCF)
The common factor of two
or more monomials is the
greatest numerical factor
and variable or variables of
greatest degree
High ratio mortgage
the amount of money
borrowed is between 75% -
95% of the purchase price

High risk statement

you may get a large return or
get nothing

Hypothesis
A statement containing
information that leads to a
conclusion
 Interest
money earned on an
Income taxes
investment or paid on a loan
An annual tax on personal
income Investment
something that is expected
Indirect proportion
to return a profit
a number is indirectly
proportionate to another Invoice
when as one value increases, a bill
the other decreases

Improper Fraction
is fractions that express
amounts which are equal to
or greater than a unit.
Hence, the numerator is
either equal to or greater
than the denominator

Income statement
shows the money coming in
and expenses for a certain
period of time.

Lease
a contract giving someone
the right to use something
for a certain length of time
Lessee
the person paying to borrow
property for a certain
amount of time for
payments
Lessor
the owner of the property
Liabilities
amounts of money you owe
Line
A set of points that extends
without end in opposite
directions
Line Graph
Points representing data are
plotted, then connected with
line segments
Line Segment
A part of a line that consists
of two endpoints and all
points between them
Loan
money given to someone on
condition the person will
return the money and
interest by a specific date
Loss
is opposite of profit & to
put it simply, its gain or
loss which can be
measured
Low risk investment
the interest amount is small,
but you are guaranteed to
get something
 Minimum Mortgagee
the lowest number in a the lender
Maximum
group of data
the highest number in a Mortgagor
group of data Mixed number the borrower
is numbers that consists of a
Mean Multimodal
whole number and a fraction
(simple average) adding the more than one frequently
group of items and dividing Multiplicand occuring value in a group of
by the total number of items the first number data

Median Multiplier
the score that falls in the the number you are
middle multipliying by

Medium risk statement Mode

investing in a well- the most frequently occuring
established company value in a group of data

Measurement Money factor

The three numbers that a decimal figure when x by
separate a set of data into 2400 gives an approximate
four parts. annual interest rate

Mortgage
a loan
Net capitalized cost
the price after any down-
payment or trade-in

Net Pay
The amount of money that a
person is paid after taxes are
subtracted
Opposites
Two numbers the same
distance from 0 (zero) but in
opposite directions on a
number line

Overtime
time worked beyond the
established working hours

P. A
per annum - yearly
Parameter
number calculated from
population data
Partative proportion
involves identifying parts of a
whole based on a given ratio
of these part
Percent
of one hundred
Percent of Increase
What percent the amount of
increase is of the original
number
Percent of Increase
What percent the amount of
increase is of the original
number
Perfect Square A flat surface that extends Price earnings ratios
A rational number that is a without end in all directions indicators of the confidence
product of two equal factors investors have in a company
that are rational numbers Polygon
(the higher the better)
A two-dimensional closed
Perimeter plane figure formed by Principal
The distance around a plane joining three or more line The amount of money that is
figure segments at only their earning interest or that your
endpoints. are borrowing
Per Diem
per day Population Prism
a complete set of individuals, A three-dimensional figure
Personal property objects or scores being with two identical, parallel
property other than real studied faces, called bases
estate (often called a chattel
mortgage) Preference share Profit
provide a specific dividend Profit is a surplus
Pictograph remaining after deducting
that is paid before any
Displays data with graphic total cost from revenue.
dividends are paid to
symbols common stock holders Proper Fraction
Point is fractions that express
Precision
A location in space amounts which are less than
A measure that is nearly
represented by a dot a unit.
exact
Proportion
Plane
when two ratios are equal
Quartiles
Identifies trends and
summarizes information. The
distribution of data is divided
into four equal parts.

Radius
The fixed distance from the
center of the circle to the
edge of the circle
Ray
A part of a line that has one
endpoint and extends
without end in one direction
Range
the difference between the
highest and lowest numbers
in a set of data
Rate
Percent charged per year for
the use of money over a
given period of time
Ratio
a comparison of two
numbers
Ratio analysis
Form of vertical analysis. It is
used to determine certain
ratios important in business
decision-making, like
determining profitability
ratios, liquidity ratios,
solvency ratios, asset
utilization ratios, etc.
Real property
real estate (houses, condos,
warehouses, factories, etc)
Residual value
the amount the property is
worth at the end of the lease
Retired
paid in full
Risk
the unexpected variablility of
returns

Sales commission
the money paid to an
employee based on a
percentage of their sales
Sale Price
The regular price less the
discount
Sample
a portion of the population
being studied
Scale
The ratio of the size of the
drawing to the size of the
actual object
Scale drawing
A drawing that represents a
real object
Scatter Plot
Displays two sets of related
data on the same set of axes.
Points represent the data, Statistic
but they are not connected. a number calculated from
sample data
Sensitivity analysis
deciding if its worth the risk
Shares
part ownership in a company
Sides
The rays of an angle
Simple interests
interest calculated on the
principle
Special discounts
a percentage discount to
customers
Squared
A number multiplied by itself
Square Root
Two equal factors of a
number
Tax
A charge, usually a
percentage, that is imposed
by an authority, generally
local, state or federal
government.

Term
the length of the loan

Time
How long the principal
remains in the bank or
unpaid

Trade discount
a percentage discount for
buyers associated with the
products being sold
Variable
an item of data that has a
different value at different
times

Variable costs
costs that fluctuate

Vertex
The endpoint of an angle

Vertical analysis
used in the preparation of
common-size statements

Vinculum
indicates division
Weighted average
used when the each piece of
data has more than one
component