Insurance for default to pay the debt lost if it fails to deliver or perform.

The quality standards that must be met every time.

A commercial good that is not fit for the use, dangerous, or has inadequate instructions. Refer to defect.

Advertising started to combat damaging competitor ads.

The time a company can do business and not use other income sources.

Investing more in safe investments like debt securities and less in risky ventures. It follows strategy to be safer. Refer to balanced investment strategy and defensive investment strategy.

Only taking responsibility for legally required errors on the social and environmental problems. A firm can accomodate response, obstructive response, and proactive response.

The section of economy markets like healthcare and utilities. They are stable and have steady earnings in good and bad times but have no growth.

Stocks and bonds tha don’t lose value when the market is on a decline. It is because the firm has less economic cycles influencing it. They don’t gain value as fast as

Any security that exhibits less volatility than the market as a whole (i.e., its BETA is less than 1.0), providing lower, but more stable, returns. Investors often acquire defensive securities during periods

An intentional delay until a future date.

Freight that is of low priority delivered cheaply.

When a customer prepays and has to wait unti the associated goods or benefits are delivered. AKA deferred liability or deferred revenue.

More income tax on a statement over the taxed amount. It happens when book incomes is more than taxable income. It is liablity on balance sheet and is written off.

When a bank finaces a letter of credit they issued. It pays a beneficiary when documents but doesn’t charge until a future date. It gives time to resell goods.

1. an notice stating omisssions in official document to get rectification. 2. a letter sent to notify that a shortfall has occured and demand restitution.

Documents about a case and filed with the court. The are incomplete but have no fees.

A debit balance that is transferred from one accounting period to the subsequent one.

1. A planned expenditure the government has to put more money without taxing. It is supposed to increase business activity and additional revenue for shortfall. AKA defecit spending. 2. Financing debt to

Limiting the federal budget. It can mean increased taxes and reduced spending by the government to handle budget defecits.