Head of the Department «State Finance» prof. T. Malikov

Variant 20

 

1. 
   Write any 10 terms with definitions on topics covered.
   
2. 
   What is the profit of an enterprise? Write a detailed answer of 8-10 sentences.
   
3. 
   What is a business plan of the enterprises?
   

    

Head of the Department «State Finance» prof. T. Malikov                                         
1 question

Finance is a broad term that describes activities associated with banking, leverage or debt, credit, capital markets, money, and investments. Basically, finance represents money management and the process of acquiring needed funds. Finance also encompasses the oversight, creation, and study of money, banking, credit, investments, assets, and liabilities that make up financial systems.
Financial Management means planning, organizing, directing and controlling the financial activities such as procurement and utilization of funds of the enterprise. It means applying general management principles to financial resources of the enterprise.

 

Joint-stock company is business entitiy in which shares of the company's stock can be bought and sold by shareholders. Each shareholder owns company stock in proportion, evidenced by their shares (certificates of ownership). Shareholders are able to transfer their shares to others without any effects to the continued existence of the company.
Corporation is a legal entity that is separate and distinct from its owners. Corporations enjoy most of the rights and responsibilities that individuals possess: they can enter contracts, loan and borrow money, sue and be sued, hire employees, own assets, and pay taxes. Some refer to it as a "legal person."
Entrepreneur is an individual who creates a new business, bearing most of the risks and enjoying most of the rewards. The entrepreneur is commonly seen as an innovator, a source of new ideas, goods, services, and business/or procedures.
limited liability company  is a business structure in the United States whereby the owners are not personally liable for the company's debts or liabilities. Limited liability companies are hybrid entities that combine the characteristics of acorporation with those of a partnership or sole proprietorship.
stock (also known as equity) is a security that represents the ownership of a fraction of a corporation. This entitles the owner of the stock to a proportion of the corporation's assets and profits equal to how much stock they own. Units of stock are called "shares."
money market fund is a mutual fund that invests solely in cash and cash equivalent securities, which are also called money market instruments. These vehicles are very liquid short-term investments with high credit quality. Money market funds generally invest in such instruments as: Certificates of deposit (CDs)
Inflation is the decline of purchasing power of a given currency over time. A quantitative estimate of the rate at which the decline in purchasing power occurs can be reflected in the increase of an average price level of a basket of selected goods and services in an economy

over some period of time.

Bank loan is the most common form of loan capital for a business. A bank loanprovides medium or long-term finance. ... They are generally charged at a lower rate of interest that a bank overdraft.
2 question

We have discussed profits in relation to the whole farm. Since you likely produce several agricultural products, you can view each different crop or livestock enterprise as a separate profit center so you can determine which enterprises contribute more to the overall profit of the farm and which ones contribute less. You can then decide what to do with the less profitable enterprises. Calculating profits for individual enterprises is similar to calculating profits for the entire farm, with one difference. In your calculations, you include only income and expenses pertaining to the individual enterprise. This process is called enterprise budgeting. 
3 question

A business plan is a written document that describes in detail how a business — usually a startup — defines its objectives and how it is to go about achieving its goals. A business plan lays out a written roadmap for the firm from each of a marketing, financial, and operational standpoint.