Marketing 3.1 & 3.2. chapter 3.1 and 3.2

January 31, 2018 Off By admin
Question Answer
Profit the amount of money remaining from income after all expenses are paid.
Profit Motive making decision on how to use resources in ways that result in the greatest profit
Revenue Stream an activity (ticket sales) that will produce money.
Economics the study of how goods and services are produced, distributed, and consumed.
Scarcity occurs when there is limited amount of resources needed to produce and distribute goods and services
Economic impact the effect produced by decisions made by consumers and businesses
Loss when expenses are greater than revenue
Economic Utility the amount of satisfaction a person receives from the consumption of a particular product or service
Form utility improving the physical characteristics of a product or service
Time Utility making the product or service available when the consumer wants it.
Place utility ensures that the product or service is available where the consumer wants it.
Possession utility results from making the product or service available at an affordable price
Return on Investment a way to measure whether a return on an investment justifies the cost of the investment.
Bootstrapping building a company without outside assistance
Venture capital financing provided to start a company in return for owning part of the company
Startup costs expenses that occur only at the start of a business.
Forecast a report that predicts the expenses to be incurred and the revenues to be earned.
Capital a company's wealth in the form of money or property
Budget a planning tool that is a detailed projection of financial performance for a specific time period.
Income Statement a financial statement showing revenue and expenses
Balance Sheet a financial statement showing assets, liabilities and net worth
Inventory Report lists each type of product that a company sells and how much of it is selling.