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MGMT 344 CH 1-4

Across
financial statements enable a firm to estimate future receivables, inventory, and payables
Forecasting is essential to strategic growth of firm
A separate legal entity that is created to conduct business
The two “R”s: Record & Report
Disbursements for general and administrative expenses
links economic theory with accounting numbers
Conservative firms may defer revenue recognition of the sale until each payment is received
What the company owes
____ theory Examines relationship between owners and managers of firm
A study of how society uses its limited resources
____ turnover is sales divided by inventory
an increase in prices of goods & services
Down
Current ____ is current assets divided by current liabilities
a slowing down of price increases
Two or more people who agree to share in the profits or losses of a business
Resources the company owns
Financial ______ manages an entity's money
Can have one owner or multiple
Paid in capital and Earned Capital
_____ proprietorship is a single owner