The document delves into fundamental concepts of accounting and personal finance, emphasizing the importance of financial statements such as balance sheets and income statements. It explains the calculation of total assets, liabilities, and owner'
Leadership - The action of leading a group of people or an organisation
Why Do People Become Demotivated?
Lack of involvement.
Boredom.
Lack of recognition.
Motivating People with Growth Needs
Work should be made interesting.
Give staff and employees a challenge.
Offer support to complete new tasks.
Motivating People with Relatedness Needs
Give recognition.
Delegate – give responsibility.
Show respect.
Motivating People with Existence Needs
Incentives – employee of the month.
Safe workplace and a good environment.
Pay people enough.
Personal Finance - Financial management which an individual or a family unit performs to budget, save, and spend monetary resources over time
Budgeting
Figure out how much you need to save to meet your financial goals.
Avoid overspending
Be prepared for unexpected expenses
Stay on top of your monthly bills
Keep track of your income and expenses
Cheques
Cheques are usually valid for six (6) months, after that period of time they are not valid and are said to be stale dated.
If you do write a cheque for an amount that exceeds your bank account balance, your cheque will be classified as being NSF (Nonsufficient Funds) for which you will be charged an NSF fee.
The amount you write on the cheque is the amount that the recipient is to receive when the cheque is cashed at a financial institution.
A cheque also is a piece of paper that you can give to someone in exchange for goods and services.
Payroll
Salary - Get paid the same amount every pay - not paid for any overtime.
Deductions - Mandatory gov’t & any voluntary amounts taken off of your gross pay - Mandatory gov’t & any voluntary amounts taken off of your gross pay.
Net Pay - “Take Home” pay. Actual amount on your paycheck after deductions.
Gross Pay - Total pay BEFORE deductions.
Saving and Banking
Credit unions – owned and run by the members who bank there. They may charge a refundable membership fee to join.
Banks and trust companies – make money for the people who own their shares.
Chequing accounts – for money that you plan to use for day-to-day spending or to pay bills.
Saving accounts – allow you to set money aside
for emergencies, save for a large purchase or
build funds for your education – while keeping
your money readily accessible.
Taxes
4. Licensing - Raise funds through driver's licence, plates, permits, hunting/fishing/boating licences, etc.
3. Harmonised Sales Tax - GST / PST: Goods and Service Tax (5% tax added to both goods and services) Provincial Sales Tax (8% retail tax on goods only).
2. Property Tax - Tax raised through the municipal government to pay for roads, snow removal, garbage collection, etc.
1. Income Tax - Anyone who earns an income has to pay federal and provincial income tax. (Goes towards: Defence, Canadian Debt, and Education, etc.)
Accounting - the action or process of keeping financial accounts
Income Statements
Revenue: Money a business brings in.
Expenses: Costs to do business.
Net Income: Sales - Costs.
Formal financial statement that shows how much profit or loss a business made over a period of time.
Revenue - Expenses = Net Income (Loss).
Balance Sheets
Assets: Anything owned with a dollar value.
Liabilities: Anything the company owes money towards.
Owner's Equity: "Left over money", Assets - Liabilities.
Summarises a company's total assets, total liabilities, and a company's net worth at a specific point in time.
Total Assets = Total Liabilities + Owners Equity.
Marketing - All business activities used to
Plan, Price, Promote, and Distribute goods or services to satisfy consumer needs and wants
Place strategies involve the following decisions:
Storefront? Online? Both?
How a product is to be distributed.
Location for stores?
Where a product is to be distributed.
Promotional strategies involve the following decisions:
What incentives to buy the new product.
When and where it will be delivered.
What the message will be (form and content).
How potential customers will find out about a new product.
Pricing strategies involve the following decisions:
What competitors are selling their products for.
Reflect what a customer is willing to pay.
Product strategies may involve the following decisions:
What makes it different from it's competitors.
What image to project.
What brand name to use.
How to package it (size, colour, shape).
What product to make.
The 4 P's of Marketing:
Product, Price, Promotion, Place
