GFOB
exchange rate between us and euro
1 dollar is .90 euro
acquisition
When one firm buys another
C Corp
a for profit entity with limited liability protection, possibility of unlimited number of shareholders, have perpetual life, limit the liability of the stockholders, publicly traded
Theory Z
a management philosophy that stresses employee participation in all aspects of company decision making
comparative advantage
an existing ability of a country to supply a product more efficiently and at a lower price compared to other countries
theory x
assumes that workers are basically lazy, error-prone, and extrinsically motivated by money and, thus, should be directed from above.
theory y
assumes that, given challenge and freedom, workers are motivated to achieve self-esteem and to demonstrate their competence and creativity.
Who does the CEO report to?
board of directors
exchange rate
number of unites of a given currency that can be purchased for the unit of another currency
LLP
organizational form that is often used for professional firms(law firms), one level of taxation
product invention
patent
What business requires articles of incorporation
S- Corp
shareholder
A person who invests in a corporation by buying stock and is a partial owner
merger
Combination of two or more companies into a single firm
mnc
corporation that has operations in more than one country
two capital components
debt and equity
LLC (Limited Liability Company)
for profit business form with members rather than shareholders as owners, taxed at the member level, limited liability, wealth management and realty rental firms are LLCs
S corporation
private businesses, limited to 100 owners, one level of taxation at the personal level of the owners, stock ownership transfer can be done through sale of shares
CFO
reports to the CEO, directs and coordinates the financial activities of the firm
CEO
role is to create long term shareholder wealth maximization
absolute advantage
the ability to produce a good using fewer inputs than another producer
company logo
trademark