BY:
LYDIA MARTIN
JOLIE RICHARDS
SARAH MCALLISTER
TOTAL REVENUE

Is total receipts of a firm from the sale of any given
quantity of a product.

It can be calculated as the selling price of the firm's
product times the quantity sold.
GROSS PROFIT

a company's residual profit after selling a product or service
and deducting the cost associated with its production and
sale.

To calculate gross profit: examine the income
statement, take the revenue and subtract the cost
of goods sold
OPERATING EXPENSE

is the sum of a business's operating
expenses for a period of time, such as a
month or year

operating expense is the money spent
turning inventory into throughput.
OPERATING INCOME

Operating Income is typically a synonym
for earnings before interest and taxes
NET INCOME

is an entity's income minus cost of goods
sold, expenses and taxes for an accounting
period
NET PROFIT MARGIN

A ratio of profitability calculated as net
income divided by revenues, or net
profits divided by sales

It measures how much out of every dollar
of sales a company actually keeps in
earnings.
CUSTODIAN

a person who has responsibility for or looks
after something, someone who is looking
after the petty cash systems.
VOUCHERS

a small printed piece of paper that entitles
the holder to a discount or that may be
exchanged for goods or services. Small
printed document that allows you to get
cash from the petty cash system.
RECONCILIATION

the action of making one view or belief
compatible with another. Ties in with
petty cash systems by making sure that
the money you took out is put back in
the petty cash system.
REPLENISHMENT

a process that occurs regularly. If vendors
only offer merchandise in a limited number
of shipments – common in the fashion
industry – merchandise planning and
allocation should be used to support
ordering.
QUICK BOOKS

set of software solutions designed to
manage payroll, inventory, sales and other
needs of a small business. The software's
features include marketing tools, merchant
services, product and supplies, training
solutions.
PETTY CASH SYSTEMS

Policies, procedures, and controls a
company has on paying for
miscellaneous needs (ex: office
supplies)
PETTY CASH SYSTEMS (CONT)
 There
must be a consistent amount of
money in the fund
 Ex: $100 in your petty cash fund and
send $90 of that cash in the month,
$90 will be then placed in the fund to
bring the balance back to $100.