T Account The form of accounts that make up the ledger similar in appearance to the letter T. The left side of the account is called the debit side, and the right side is called the credit side.
Takeover The acquisition, procedure, control or management of one business by another. Assets may be acquired by purchase, exchange of stock, merger or court instructed action.
Tangible Describes property that is physical in character and capable of being moved.
Tangible Benefits Benefits that can be measured directly to determine how well a system is performing.
Tangible Net Worth The balance sheet item that represents the equity of the company once intangible assets such as goodwill or trademarks have been removed from net worth.
Target Costs Concept A concept used to design and manufacture a product at a cost that will deliver a target profit for a given market-determined price.
Target Market The focus point for the sender’s message.
Tariff A tax imposed on imported goods to raise their market prices, making the cost of competing domestic products attractive by comparison.
Task Force Structure A temporary structure created to accomplish a specific, well-defined, complex task that requires the involvement of personnel from other organizational sub-units.
Task Scope The size of a task relative to the overall purpose of a larger activity or organization.
Tax A charge imposed by and payable to a governmental body for a public purpose.
Tax Levy 1. A compulsory assessment by a taxing body;
2. The seizure and sale of property by a tax agency to satisfy a claim.
Tax Lien A claim made by a taxing agency against a person or firm for non-payment of taxes and as a security for payment of the debt.
Taxable Income The base, on which the amount of income, tax is determined.
Team Building Interaction among members of work teams to learn how each member thinks and works.
Technical Skill The knowledge of and ability to use the processes, practices, techniques, or tools of a special area of responsibility.
Technological Forecasting Predicting changes in technology, and when new technologies are likely to be economically feasible.
Technological Obsolescence Occurs when an individual or organization’s special capabilities are rendered obsolete by new technology or new work methods.
Telecommuting The linking by computer and modem of workers at home with co-workers and management at an office.
Telemarketing
(Telephone Retailing)
Out-of-store sales initiated by a sales person who calls prospects or follows up on the customer’s response to promotional campaigns.
Temporary Investments Investments and securities that can be readily sold when cash is needed.
Tenancy The interest in property that a tenant acquired from a landlord by a lease. It may be at will or for a term. It is an interest in land.
Tenancy by the Entireties Property acquired by husband and wife, whereby at the death of one, the survivor takes the whole property.
Tenancy in Common The common and undivided ownership of property.
Tenant The person to whom a lease is made.
Tender To offer and produce money in satisfaction of a debt or obligation and express to the creditor a willingness to pay.
Tender of Delivery The seller must put and hold conforming goods at the buyers deposition and give the buyer any notification reasonably necessary to enable him to take delivery.
Tender Offer An offer to buy a controlling number of a firm’s shares of stock.
Terabyte One trillion bytes.
Term Insurance Life insurance that pays only if the insured dies during a specified period of time.
Term Loan A loan made with an initial maturity of more than one (1) year.
Terms of Sale Arrangements between buyer and seller which specifies the conditions required in payment for goods or services.
Terms of Trade An indication of how much of one good will be exchanged for the unit of another good.
Test Marketing A business introduces a product in strategic geographic locations, rather than everywhere, to assess consumer response.
Testamentary Capacity A person is said to have testamentary capacity when he understands the nature of his business and the property value and comprehends the manner in which he has provided the distribution of his property.
Testator The person who makes a will.
Testimony Statements made by a witness under oath or affirmation in a legal preceding.
Theoretical Standards Standards that represent levels of performance that can be achieved only under perfect operating conditions.
Theory of Constraints (TOC) A manufacturing strategy that attempts to remove the influence of bottleneck constraints on processes.
Theory X A philosophy of management with a negative perception of subordinates’ potential for work and general attitudes towards work. It assumes that subordinates dislike work, are poorly motivated, and require close supervision.
Theory Y A philosophy of management with a positive perception of subordinates’ potential for and general attitudes towards work. It assumes that subordinates can be self-directing, will seek responsibility, and find work as natural as play or rest.
Three-Needs Theory The needs of achievement, power, and affiliation are major motives in work.
Thrift Institutions Depository institutions that make long term loans primarily to households.
Time Deposit or Savings Account 1. A sum of money, deposited with a bank, that cannot be withdrawn by writing a check;
2. Deposits that earn a fixed rate of interest if they are held for a specified period, which can range anywhere from 30 days to several years.
Time Draft An unconditional order in writing by one person upon another, signed by the person giving it and ordering the person to whom it is directed to pay at a definite time in the future.
Time Tickets The form on which the amount of time spent by each employee and the labor costs incurred for each individual job or for factory overhead are recorded.
Time Value of Money The concept that an amount of money invested today will earn income.
Time-Series Graph A graph showing the behavior of one or more variables over time.
Title When a person has the exclusive rights, powers, privileges and immunities to property, real and personal, tangible and intangible, against all other persons, he may be said to have the complete title thereto.
Title VII That portion of the 1964 Civil Rights Act prohibiting discrimination in employment.
Tort A wrongful act committed by one person against another person or his property. It is the breach of a legal duty imposed by law other than by contract.
Tortfeasor One who commits a tort.
Total Costs The total of fixed costs and variable costs.
Total Exposure A credit term used in discussions about a customer, comprising the customer’s total accounts receivable balance plus orders shipped but not billed, plus unshipped orders and work in process designated to that customer. Therefore, the potential business loss may be greater than just the open accounts receivable.
Total Quality Management (TQM) 1. A management approach that involves an ongoing commitment to improving product quality, starting with product design and continuing through production;
2. A philosophy of management that is driven by customer needs and expectations.
Total Revenue Determined by multiplying price by the number of units sold.
Total Utility The total satisfaction a consumer derives from consumption.
Trade Acceptance Commonly employed by merchants and manufacturers. The seller makes the instrument to his own order, drawn on the buyer. In effect, the seller is taking the trade acceptance in payment of the goods. When the buyer accepts this draft drawn upon him, his obligation to pay becomes absolute. The seller may than discount the trade acceptance at his bank for the full amount.
Trade Character A brand mark that has a human quality.
Trade Credit 1. Arises from a sale of goods by a manufacturer or by a distributor to another manufacturer or retailer;
2. The measure of the ability of a business to secure goods to be used commercially in exchange for a promise to pay at some specific future time.
Trade Creditor Refers to a creditor (typically a manufacturer, wholesaler, distributor or service provider) as opposed to a lending institution.
Trade Discounts Special discounts from published list prices offered from sellers to certain classes of buyers.
Trade Fixtures Personal property placed upon or annexed to land leased by a tenant for the purpose of carrying on a trade or business during the term of the lease.
Trade Reference One of the elements of the information required in establishing a credit line for a customer. Reference information can be gathered by direct contact from sources supplied by the customer or from trade credit groups. Generally a trade reference is a reciprocal event.
Trade-In-Allowance The amount the seller grants a buyer for a plant asset that is traded in for a similar asset.
Trademark ™ 1. It is any sign, symbol, mark, word or any arrangement of words in the form of a label adopted and used by a manufacturer or distributor to designate his particular goods, and which no other person has the legal right to use;
2. A brand name, brand mark or trade character that has legal protection.
Training The learning process whereby people acquire skills or knowledge to aid in the achievement of goals.
Transaction A business event that generates or modifies data stored in an information system.
Transaction Costs The costs of time and information required to carry out and exchange data.
Transactional Leaders Leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements.
Transaction Set A set of standards for EDI information flows developed by the ANSI X12 committee to facilitate the electronic communication between trading partners.
Transfer In its broadest sense, the word means the act by which the owner sets over or delivers his right, title, and interest in property to another person. A bill of sale to personal property is evidence of a transfer.
Transfer Agent A commercial bank that records changes in name and addresses for a corporation each time stocks and certain types of bonds are traded.
Transformational Leaders Leaders who provide individualized consideration, intellectual stimulation and possess charisma.
Transnational Corporations Companies that maintain significant operations in more than one country simultaneously and decentralized decision making in each operation to the local country.
Transportation The mode or means of shipping the goods.
Transportation Insurance Covers loss of cargo from hazards such as contamination, spoilage, theft, fire, breakage, or collision while in transit.
Treasury Management Workstation A computer system that provides a means for the treasury manager to efficiently manage cash concentration, account balances at banks, cash transfers and the short-term investment and borrowing portfolio. These are sold by banks and some specialized vendors.
Treasury Stock A corporation’s own outstanding stock that has been re-acquired.
Treble Damages An award of damages allowable under some statutes equal to three times the amount found by the jury to be a single recovery.
Trespass An injury to the person, property or rights of another person committed by actual force and violence or under such circumstances that the law will infer that the injury was caused by force or violence.
Trial Balance A summary listing of the titles and balances of the accounts of the ledger.
Trojan Horse A program that appears to be valid and useful, but contains hidden instructions whose execution causes consequences not anticipated by the user. Frequently referred to as a “virus.”
Trust A relationship between persons by which one holds property for the use and benefit of another. The relationship is called fiduciary.
Trust Receipt Is used domestically in connection with the purchase of household equipment and automobiles by dealers from their manufacturers. The manufacturer receives an order from the buyer, ships the goods, and forwards the bill of lading and other documents to the bank for payment. At that time, the seller ceases its part of the transaction. The buyer than issues a trust receipt to the bank, and the bank releases the documents the buyer needs to claim the goods.
Trustee A person who is entrusted with the management of another’s property and estate. A person occupying a fiduciary position. An executor, an administrator, a guardian.
Trustee in Bankruptcy An agent of the court authorized to liquidate the assets of the bankrupt, protect them and bring them to the court for final distribution for the benefit of the bankrupt and all the creditors.
Truth in Lending A federal law that requires disclosure of total finance charges and the annual percentage rate for credit in order that borrowers may be able to shop for credit.
Turnover The number of times that assets, such as inventory or accounts receivable, are replaced on average during the period.
Turnover Proceedings A summary proceeding authorized under the provisions of the Bankruptcy Code requiring a bankrupt to turn over property to a receiver or trustee for administration.
Tying Contract Ties the sale of one piece of property to the sale or lease of another item of property.
Type A Behavior Behavior marked by a chronic sense of time urgency and an excessive competitive drive.
Type B Behavior Behavior that is relaxed, easy going, and noncompetitive.

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