M
Market
A group of potential customers who have purchasing power and unsatisfied needs."
Marketing Mix
Marketing activities: product, pricing, promotion, and distribution (placing) of a product or service.
Marketing Plan
A section of a business plan which describes the projected marketing activities of the company.
Mortgage
A loan from a creditor that uses a real estate as collateral.
N
Negotiable Instruments
Documents transferable from one party to another in place of money.
Net Worth
For an individual, the difference between the value of assets and the amount of liabilities. For a sole proprietorship, the difference between the assets and liabilities of the company.
O
Operating Expenses
Costs related to general administration of a company, which are unrelated to production of goods.Opportunity Cost
The return on an investment; the cost of an opportunity given up for another opportunity.
Overhead
Business costs for general administrative expenses, such as rent, insurance, or utilities; business costs not related to a specific product or service.
P
Partnership
A legal association created by voluntary association of several individuals to operate a business.
Patent
The exclusive right of an inventor to make, use, or sell an invention.
Prime Rate
The interest rate charged by banks to their customers with highest credit ratings or longest relationships.
Publicity
Unpaid promotion of a company's products and services, portrayed as "news."
Profit
The excess of income over expenses; the rewards to an entrepreneur for his or her risks in setting up the company.
Proprietorship
See "Sole Proprietorship."
