NYSTCE Business and Marketing (168) flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Accounting equation

Assets equal liabilities plus owner's equity. Every transaction is recorded so that this equality remains in balance, which is the foundation of double-entry bookkeeping.

Contribution margin per unit

Selling price per unit minus variable cost per unit. It measures how much each sale contributes toward covering fixed costs and then generating profit.

Break-even point in units

Fixed costs divided by contribution margin per unit. It is the sales volume at which total revenue equals total cost and profit is zero.

Gross profit

Net sales minus cost of goods sold. It reflects profit from core selling activity before operating expenses, interest, and taxes are subtracted.

Marketing mix (4 Ps)

Product, price, place, and promotion. These are the controllable elements a firm blends to reach its target market and achieve marketing objectives.

Product life cycle

The progression of a product through introduction, growth, maturity, and decline. Each stage changes competition, pricing pressure, and promotional emphasis.

Market segmentation

Dividing a broad market into subgroups sharing needs or traits. Common bases are demographic, geographic, psychographic, and behavioral characteristics.

Target market

The specific segment or segments a firm chooses to serve with a tailored marketing mix, selected after evaluating segment size, growth, and fit.

Price elasticity of demand

The percentage change in quantity demanded divided by the percentage change in price. Demand is elastic when the result exceeds one in absolute value.

Penetration pricing

Setting a low introductory price to attract buyers quickly, build market share, and discourage competitors, often later raising the price.

Price skimming

Setting a high launch price to capture revenue from early adopters willing to pay more, then lowering the price as competition enters.

Channel of distribution

The path a product follows from producer to consumer, including any intermediaries such as wholesalers and retailers that add time, place, and possession utility.

Sole proprietorship

A business owned by one person who keeps all profits but bears unlimited personal liability for business debts and obligations.

Debit and credit rules

Assets and expenses increase with debits; liabilities, equity, and revenue increase with credits. Each transaction records equal debits and credits.

Straight-line depreciation

Cost minus salvage value, divided by useful life in years. It allocates an equal depreciation expense to each year of the asset's service.

FICA taxes

Social Security and Medicare payroll taxes shared by employer and employee. Social Security applies up to an annual wage base; Medicare has no cap.

Return on investment

Net income divided by investment. It can be split into profit margin times investment turnover to show whether returns come from profitability or asset efficiency.

Segregation of duties

An internal control that separates custody of assets from recordkeeping and authorization so no single person can both commit and conceal an error or fraud.

Elements of a contract

Offer, acceptance, consideration, capacity, and legality. All must generally be present for an agreement to be an enforceable contract.

Apparent authority

Authority a principal appears to grant an agent based on the principal's conduct, which can bind the principal when a third party reasonably relies on it.

At-will employment

An arrangement in which either employer or employee may end the relationship at any time, absent a contract or protection under employment law.

Trademark

A word, symbol, or design identifying the source of goods or services. It protects brand identity and can be registered with the federal government.

Bait-and-switch advertising

Advertising an attractive offer to draw customers, then discouraging its purchase to sell something else. It is a deceptive practice regulated by consumer protection agencies.

Communication process

Sender encodes a message, transmits it through a channel, and a receiver decodes it; feedback confirms understanding, and noise is any interference.

Block letter format

A business letter layout in which every line, including the date, inside address, salutation, and closing, begins flush at the left margin.

Primary key

A field or combination of fields that uniquely identifies each record in a database table, preventing duplicate rows and enabling reliable linking.

Absolute cell reference

A spreadsheet reference locked with dollar signs so it does not change when copied to other cells, unlike a relative reference that adjusts.

B2C e-commerce

Online transactions between a business and individual consumers, such as retail websites and mobile shopping apps, typically involving higher transaction volume and lower order values.

Formative assessment

Ongoing checks during instruction that give feedback to adjust teaching and learning; unlike summative assessment, it is not primarily used for grading.

Differentiation

Adjusting content, process, or product in response to student readiness, interest, and learning profile while holding the same learning standard for all.

Performance rubric

A scoring guide listing criteria and proficiency levels used to judge authentic student work consistently and to communicate expectations before the task begins.

Cooperative learning

Instructional grouping in which students work together toward shared goals, structured with positive interdependence and individual accountability so each member contributes.