Chapter 3 Business Basics

Money used in exchange for goods and services

• Store of value

• Medium of exchange

• Unit of value

• Finance

Any activity related to making a product.

• Industry

• Management

• Contract

• Production

The process of controlling and making decisions about a business.

• Industry

• Management

• Contract

• Production

An organization that exists to serve some public purpose.

• Partnership

• Corporation

• Sole Proprietorship

• Nonprofit organization

A business owned by one person (70% of all businesses in the US)

• Partnership

• Corporation

• Sole Proprietorship

• Nonprofit organization

The relationship between two or more people who join to create a business.

• Partnership

• Corporation

• Sole Proprietorship

• Nonprofit organization

Business that is legally separate from its owners and has most of the legal rights of an actual person.

• Partnership

• Corporation

• Sole Proprietorship

• Nonprofit organization

Money earned for working.

• Wage

• Liability

• Money

• Barter

Anything of value that is accepted in return for goods and services.

• Wage

• Liability

• Money

• Barter

The exchange of one good or service for another good or service.

• Wage

• Liability

• Money

• Barter