Essential Business and Employment Vocabulary Glossary

Financial Statements and Cash Flow

Cash flows from operating activities: The net amount of cash a company generates or spends from its core business operations.
Revenue (cash received from customers): The total money collected from clients in exchange for goods sold or services provided.
Merchandise inventory: The stock of finished goods that a business has on hand and intends to sell to customers.
Personnel costs: All expenses related to employees, including salaries, wages, social security, and benefits.
Other operating expenses: General costs required to run the business, such as rent, utilities, and office supplies.
Advertising: Money spent on marketing and public relations to promote products or services to the public.
Shipping: The costs associated with transporting and delivering goods to customers or between facilities.
Corporate taxes paid: The actual amount of cash sent to the government to settle the company’s income tax obligations.

Cash flows from investing activities: Cash used for or generated from long-term assets, like buying equipment or selling property.
Sale of property: The cash inflow received when a company sells land, buildings, or other real estate.
Buildings renovation: Money spent on improving or repairing physical structures, usually recorded as a long-term investment.
Purchase of equipment: The cash outflow required to buy machinery, vehicles, or tools for business use.
Cash flows from financing activities: Cash transactions involving owners and creditors, such as issuing shares or paying back loans.
Shares issued: The act of selling new units of ownership in the company to raise capital from investors.
Payment of dividends: Distributing a portion of the company’s profits back to its shareholders in the form of cash.
Repayment of long-term loan: The process of paying back the principal amount of a debt that was due over several years.
Interest: The extra cost paid for borrowing money or the profit earned from lending it.

Net increase in cash: The final change in the cash balance after adding/subtracting all operating, investing, and financing flows.
Cash balance: The exact amount of cash a company holds at the beginning (January 1st) or end (December 31st) of the fiscal year.
Assets: Everything of value that a company owns and can use to generate future profit.
Liabilities: The legal debts or financial obligations that a company owes to outside parties.
Equity: The total ownership interest in a company held by its stockholders.
Balance sheet: A financial report showing the company’s assets, liabilities, and equity at a specific point in time.
Cash flow statement: A report detailing the change in a company’s cash position over a specific period.

Job responsibilities: The specific tasks and duties that an employee is expected to perform in their role.
Job requirements: The skills, experience, and qualifications a candidate must have to be considered for a position.
Full-time vs. Part-time: Working a standard 40-hour week versus working fewer hours than the standard.
To hire/recruit: To find, select, and employ new people to work for an organization.
To fire/dismiss/sack: To end an employee’s contract, usually due to poor performance or misconduct.
Perk (Benefit): An extra advantage given to employees in addition to their regular salary.

Personal Details: Basic contact information including your name, address, phone number, and email.
Personal Statement: A brief paragraph at the top of a CV summarizing your career goals and key strengths.
Work Experience: A chronological list of your previous jobs, including dates, titles, and main responsibilities.
Education: A section detailing your academic qualifications, such as degrees, diplomas, and schools attended.
References: People who can provide a recommendation or confirm your character and work history.