| A | B |
|---|
| dividends | payment of corporation's earnings to shareholders |
| charter | government document creating a corporation |
| principal | the amount borrowed excluding interest charges and fees |
| unlimited liability | when a business person is fully responsible for all the debts of his or her business |
| sole proprietorship | business owned and run by one person |
| inventory | the finished goods and parts in a business place |
| partnership | business owned by two or more persons |
| general partnership | a form of business where all owners have unlimited liability |
| limited partnership | partnership where some owners have limited liability |
| corporation | all owners have limited liability |
| stock | ownership certificates in a corporation |
| stockholder | investor in a corporation |
| bond | a written promise to repay money at a later date |
| principal | the original amount of money borrowed |
| interest | the price paid for the use of borrowed money |
| merger | combination of two or more businesses into one business |
| horizontal merger | combination of two or more businesses who produce the same product |
| vertical merger | combination of two or more businesses involved in different businesses |
| labor unions | an organization of workers formed to represent the wants of the workers |
| depreciation | a non-cash charge for the general wear and tear on capital goods |
| multinational | a corporation that has operations in many countries |
