1.   LIABILITIES- a companys legal debts or obligations that can be settled over time through economic benifits

2.   OVERHEAD EXPENSE- miscillaneous expenses such as tax and insurance, part of the total cost of staffing and maintaining a buisness.

3.   OWNERS EQUITY- difference between assets and liability

4.   PRODUCTION COST- what it cost to produce the items

5.   WORKING CAPITAL- a measure of the companys efficiency and short term financial health

6.   LOAN- give money or property, etc. for future payment in return

7.   LOSS LEADER- when a company sells a product that loses them money for the sake of offering  another product for greater profit

8.   SCARCITY- limited resources for peoples wants

9.   OPPORTUNITY COSTS- benifits you could have recieved by taking another course of action

10.  EXPLICIT COSTS- expense that is identified and accounted for, you can easily see cash outflow and profit

11.  IMPLICIT COSTS- cost not easily accounted for, excluding cash..hardwork, ect are examples

12.  PRICE- how much somethingg costs

13.  RELATIVE PRICE- the ratio of two prices

14.  INCENTIVES- encouragement to do something

15.  PROFIT- a gain in money

16. LOSS- loss of money

17.  EQUILIBRIUM- balance

18.   SURPLUS- having extra

19. SHORTAGE- not having enough

20.  MINIMUM WAGE- lowest price an employee can work for

21.  PRICE FLOOR- lowest price the government allows an item to be sold for

22.   BEAR MARKET- market condition in which the price of securities are falling

23.   BULL MARKET- market of a group in which the prices of securities is rising

24. BOOM- when sales increase very rapidly

25.  BILL OF EXCHANGE-  A non-interest-bearing written order used primarily in international trade that binds one party to pay a fixed sum of money to another party at a predetermined future date.

26.  BUDGET DEFICIT- amount of money spent over income

27.  CAPITAL- financial resources available for use

28.  SHORT SELL- selling of a stock you dont own in hopes of buying it for a lower price than you sold it for

29. SHORT COVER- buying the same number and type of securities that were short sold in order to make a profit

Job Shadow Video

Last Transactions- Week 9

Last week I bought Costco as a trade for Thanksgiving so I sold it this week as one of my transactions. Costco is in the consumer goods sector and they sell a large variety of things including food, clothes, etc. I bought 20 shares for $81.43 each which falls on the lower middle portion of the  $68.13 -$ 87.68 52 week range. I sold it for $82.09 so the good new is I did make some money, but I checked the price of Costco and it's selling for $87.02 today. I didn't sell at the right time. Some competitors are Walmart and Target are very high on the 52 week range right now too, I dont  wish I would have bought them instead I just didn't time my sale right.

The second transaction I made this week was investing in Caterpillar. It is int he services sector. Caterpillar is a construction machinery company; I bought them because they are doing really well I I think they will just keep getting better, but there is also construction going on everywhere so I feel like I will stay solid. I bought 18 shares for $91.44 each which falls in the lower middle of the  $67.54 - $116.55 52 week range. Some of Caterpillars competitors are CNH and VOLVY.PK, I chose Caterpillar because it's a bigger company, has more employees, and has a larger net income than any of them. It also has a dividend of 2%. I predict Caterpillar will go up $5 in the next two weeks. It's already selling for $96 and it's 1 year predicted price is $116.

Job Shadow

For my job shadow I'm going to the Powell Hospital to work with Cassie Tinsley. She works at the human resource office. I'm excited because I'm really interested in a lot of jobs in the medical field and I'm hoping I get to see what goes on every day at the hospital. I don't know for sure if I want to be in the medical field or not, but I think this will be a great opportunity for me to experience even if I don't decide to be a doctor. The thing I'm a little nervous about is what were actually going to be doing all day.

VOcabulary

28. Amoritize- installment payment
- When I buy a house I plan on amortizing it.
29.Economic Index- data on a macroeconomic scale used to interpret current or future investment possibilities.
- I checked the economic index to see if Apple would be a good company to invest in.
30.Deprecation- when the value of an item is less over time
-After a car has been used its price goes down in price tremendously.
31.Gross Margin- profits divided by net sales
It is good to have a higher gross margin percentage.
32.Earnings per share- portion of a companys profit of outstanding share of their common stocks
- A company can make money by the amount of their earnings per share

Insider Trading

1.What is your opinion of the topic of the video? explain
When i first thought about insider trading, I thought it seemed wrong. However i have changed my mind because i think it is fair for people to use their advantages. Most people would do the same thing if they were in that positon. It's not illegal and part of the job is getting insider information. People with other jobs have advantages that they use as well, so I believe using insider indormation is just fine.

2.What can you do about your opinion? How can you make you opinion count?
I think if I tell people my opinion about insider trading, they would start to look at it from a different view. They really arent doing anything wrong so if  people could see taht, they might not make such a big deal out of it.

3.What is insider trading? What was the information that caused Martha Stewart to go to prison?
Insider trading is when people in congress know things about the stock market and what specific stocks are going to do so they buy or shortsell depending on the stock. Martha Stewart got insider information from someone at the company she invested in who told her to sell because the stocks were going to dive.

4.What is black friday? When did it get it's name? What is cyber monday?
Black friday is the day after Thanksgiving when everyone goes shopping because of the huge salses. It is the buisiest shopping day in the United States. It got it's name because it's the day that is know to get stores that arent doing well out of the "red." Cyber Monday is similar to black friday except its the Monday after thanksgiving and all of the sales and shopping go on online.

My first transaction this week was investing in Aflac. It is in the financial sector and is a health and life insurance company. I thought this would be good to invest in because insurance is important to have and most people buy it, I'm also trying to make sure I invest in companies from several different sectors. i bought 20 shares for $44.41 each which falls pretty much in the middle of the $31.25 - $59.54 52 week range. There is also a 3% dividend. I chose Aflac over it's competitors American Fidelity Life Assurance and Nippon Life Insurance for a few reasons. First because I felt like Aflac is very well know and used. Secondly, there wasn't a lot of information about other companies and from the information that was there i could tell aflac had a lot higher profit margin even though they had fewer employees. I predict Aflac will go up about $2 dollars in the next couple weeks.

The second transaction this week was buying Costco. I bought this as a trade because I think their sales will go up a  lot during the week of thanksgiving. Costco is in the consumer goods sector. I only had about $1800 left so i only bought 20 shares for $81.43 each which falls pretty high on the $66.27 - $86.34 52 week range but i think it will be very profitable with Thanksgiving coming anyways. However, i do wish i would have purchased this a little earlier if the price was lower. Costco does have a 1.2% dividend as well. Their main competitors are Target and Walmart, I chose Costco over target because they don't sell the food that Costco does. I chose it over Walmart because I feel that around the holidays people tend to buy in  large quantities which is what Costco sells at a pretty good price, plus they have a better quarterly growth by aboout 8%. I predict that Costco will go up about $4 before I sell it after Thanksgiving.