BUS 101 Exam 2

Yayy for BUS 101 Flashcards

22 cards   |   Total Attempts: 182
  

Cards In This Set

Front Back
Someone with a legal title to an asset or property
Owners
People with needs or wants. and a willingness and ability to purchase a good or service
Customers
Purchasing good for peronal consumption
Final Customers
Purchasing goods or services for use in a business
Business Customers
Governed by contract
Suppliers
An Individual who possesses a stake in a business
Stakeholder
Goes with the people they are representing
Lawyers
Who gets a seat at the table
Legitimacy
The ability to impact the decision
Power
The Desire to impact the decision, now
Urgency
____________ is the equity ownership of a corporation
Stock
Residual Ownership of the firm
Common Stock
What are the positives of using debt as a source of capital?
- Tax deductibility of interest
- Debt does not dilute control of the firm
- Lower cost of funds
What are the negatives of using debt as a source of capital?
- Increases probability of financial distress
- Uses up potential of debt capacity
What are the three main points under the main point of "Consumer is Boss"
1. Living it/Working it
2. Benefits "in the consumers eyes"
3. What do they really do, not what you think they do