An entrepreneur is a person who starts his or her own business or enterprise and assumes responsibility for all the risk involved. Basically, the entrepreneur is the brain behind the operation and the one in charge, but he or she is also the person held accountable for the business venture’s success or failure.
Archive for the ‘Level 1’ Category
An Entrepreneur is…
Monday, August 3rd, 2009An Import Tax is…
Monday, August 3rd, 2009An import tax is a charge added to the price of a good when it’s brought from one country into another. Reasons for the tax include: profit for the importing government and protection of its own home companies that produce that same good. For example, the U.S. has a high import tax on sugar in order to protect the U.S. sugar industry from cheaper foreign imports.
A Joint Tax Return is…
Monday, August 3rd, 2009A joint tax return is a tax return that both members of a married couple file together (or jointly). It combines the incomes and tax deductions of the two spouses.
A Municipal Bond is…
Monday, August 3rd, 2009A Pledge is…
Monday, August 3rd, 2009A pledge is an asset or assets given to a lender as collateral (that is, the lender basically holds the pledge hostage until you pay back your loan, and he gets to keep it if you don’t).
A pledge is also a promise to donate money to a charity or other fundraising cause (so if you “pledge” $5,000, you haven’t actually given it, but you’ve promised to do so).
Cash is…
Monday, August 3rd, 2009Cash is hard currency – money you can hold in your hands. Some businesses don’t accept credit or debit cards, so it makes sense to have some cash on hand if you’re passing through an unfamiliar place.
A Tax Credit is…
Monday, August 3rd, 2009A tax credit is a dollar value you can subtract from your income taxes. For example, if you owe $20,000 in income taxes and you’re entitled to a $2,000 tax credit, you only have to pay $18,000.
An Itemized Deduction is…
Monday, August 3rd, 2009An itemized deduction is an expense that you can report on your tax return that decreases the amount you have to pay in income taxes. There are many expenses that can qualify as itemized deductions (if certain qualifications are met) – medical expenses, losses due to theft, investment interest, and so on.