BUSINESS STUDIES Essays - Free Essays, Term Papers, Research Papers

BUSINESS STUDIES Essays - Free Essays, Term Papers, Research Papers BUSINESS STUDIES GLOSSARY YEARS 10 AND 11 NAME ..................................... | | |A | | | | | | |Above the line |Methods of promotion that allow a firm to reach | | |a wide audience easily. These include methods | | |such as advertising on television and in | | |newspapers and magazines. | | | | |ACAS (Advisory, |An independent body established under the | |Conciliation and |Employment Protection Act whose aim is to help | |Arbitration |employers and employees resolve trade disputes | |Service) |and improve industrial relations. | | | | |Accounting ratios|A way of analysing the performance of a company | | |by comparing key items from its balance sheet | | |and the profit and loss account. These are used| | |to show performance in four areas: | | |profitability, liquidity, productivity and | | |investment. | | | | |Advertising |Advertising is designed to create an awareness | | |of a product. It is the process of informing a | | |customer about a product or service (informative| | |advertising) and persuading that customer to buy| | |it (persuasive advertising). | | | | |Advertising |A voluntary body set up by the UK advertising | |Standards |industry to consider complaints made by | |Authority (ASA) |customers about advertisements. It expects an | | |advert to be legal, decent, honest and true. | | | | |Annual bonus |A fixed amount in addition to a basic wage or | | |salary, which employees receive once a year, | | |often at Christmas. This bonus payment | | |motivates employees and encourages loyalty to | | |the business. | | | | |Annual General |The statutory meeting of directors and | |Meeting (AGM) |shareholders held once a year. The shareholders| | |are asked to vote on various proposals that the | | |board of directors is making about the company, | | |but can also ask the directors questions about | | |the business. Shareholders may also elect | | |members of the board of directors. | | | | |Annual report. |A report issued by a limited company, which | | |contains written and financial statements about | | |the progress of the company in the previous | | |financial year. This is to ensure that the | | |shareholders receive some information on an | | |annual basis. | | | | |Apprenticeship |A system of on the job training for craft skills| | |or a profession where young people are given | | |training by working alongside a skilled worker. | | | | |Assets |What a company owns represented in the balance | | |sheet. Fixed assets are long-term assets, which| | |are for use in the business and not for resale. | | |Current assets are used in the course of the | | |business and will be converted into cash within | | |the next twelve months. | | | | |Assisted areas |Specific geographical areas of the UK, which are| | |eligible to receive financial assistance. The | | |government has identified these areas by above | | |average unemployment rates caused by the decline| | |in traditional industries such as ship building,| | |coal mining and steel production. | | | | |Authority |The capacity to give commands which others | | |accept as legitimate in an organisation. | | | | |Autocratic |A style of leadership where the power for making| |leadership |decisions is in the hands of one person or a | | |small group of people. This is the opposite of | | |democratic leadership. | | | | |Average cost |Also called unit cost. The total costs of | | |producing a product divided by the number of | | |units produced. Over a short period of time it | | |is expected that as output increases, average | | |costs will fall to start with and then rise | | |again as the factory moves towards full | | |capacity. See economies/diseconomies of scale | | | |B | | | | | | |Balance of |A record of the overall results of a country's | |payments |trading activity with the rest of the world. It| | |includes imports and exports of goods and | | |services and capital flows into and out of the | | |country. | | | | |Balance sheet |One of the final accounts. It shows the assets | | |and liabilities of the business at a particular | | |date. It is often called a 'snap shot' of the | | |financial state of the business. | | | | |Bank of England |The central bank of the UK. It controls the | | |money supply, interest rates and inflation. | | | | |Bankruptcy |The condition of being unable to meet the