A Payment Gateway is a service that authorizes payment
thereby enabling the use of credit cards to make purchases.
The payment gateway service interface with the credit card
holder's bank and the vendor's bank to ensure available
funds and make depsoits so that the buyer's account is
debited and the seller's account is credit with payment.
Payment Terms
Payment terms is the conditions under which a seller may
complete a sales transactions. It refers to the
period allowed to a buyer to pay off the amount due.
Payment terms include Net 10, Net 15, Net 30 or Net
60. This means that 10, 15, 30 or 60 days after
completing the sales transactions you will receive full
payment. Net means "total after all discounts and
fees". This type of payment terms are used between
businesses. For example, between a retailer and a
manufacturer or distributor. The retailer buys the
items from a manufacturer or distributor and turns around
and sell it, then pay the manufacturer or distributor 10,
15, 30 or 60 days later depending on the agreement.
Performance Appraisal is used to asses an employee's job
performance. It is a systematic process that describes
what an employee did or didn't do over a specific period
(usually one year) based on pre-established objectives.
It is a written document that is done by a supervisor on
his/her subordinate. Every organization define for
themself how and when performanc appraisals are
accomplished.
Petty Cash is a small amount of discretionary funds in the
form of cash used for expenditures where it is not sensible
to make any disbursement by check, because of the
inconvenience and cost of writing, signing and then cashing
the check. Source:
Wikipedia
Point-of-Sale refers to the point at which the sales
transaction takes palce. It is also called
Point-of-Purchase. For a retail store with a physical
location this is the cash register where the customer checks
out and pay for the items they purchase. For a retail
store with an e-commerce site it is the website where the
customer enters their payment and makes the payment
transaction. POS systems are equipment and software
that make the payment transaction possible. They
include cash register and electronic payment systems.
Price controls are governmental
restrictions on the prices that can be charged for goods and
services in a market. The intent behind implementing such
controls can stem from teh desire to maintain affordability
of staple foods and goods, to prevent price gouging during
shortages and to slow inflation, or, alternatively, to
ensure a minimum income for providers of certain goods. Source:
Wikipedia
Price Discrimination or Price Differentiation exists when
sales of identicalgoods or services are transacted at
different prices fromt he same provider. It also occurs when
the same price is charged to customers which have different
supply cost. Source:
Wikipedia
Price gouging is when a business sells their products or
services at a level that is much higher than what is
considered to be reasonalbe or fair. This is usually
indicated by a steep increase in price over a very short
period of time. This normally occurs when something is
suddenly in high demand. Some examples of when rapid
price increses occur include: demand for building material
after a hurricane; demand for oil after a disaster at a oil
refinery; etc.
Principal is the face amount of a loan. For example, if you
borrow $10,000 at 10% interest. The Principal on the loan is
$10,000. This is the amount you will pay interest on. For
the loan to be repaid the entire $10,000 has to be repaid
plus interest..
Product Lifecycle encompases the life of a product from
conception, through design and creation to the use and
disposal. From a small business standpoint it is about when
and how you purchase a new product (machinery, etc.), how
you use and maintain it and when and how you dispose of it.
Product recall is an effort to remove a product from the
market because of safety issues or product defects that
could endanger the lives of consumers and result in legal
and financial risks to the maker/seller. Learnmore
about
Product Recall.
Profit is the difference between what it cost you to
make/deliver a product/service and what you charge for that
product/service.
Gross Profit is the difference
between what it cost you to make/deliver a product/service
and what you charge for that product/service bere expenses
such as overhead, Research & Development, Sales & Marketing,
interest expense, taxes and other expenses are taken out.
Net profit is what is left over after all expenses
have been taken out.
Profit Center
Profit Center is a section, branch or division of a company
that is treated as a standalone entity for the purpose of
calculating it's profits. This often means that the
section, branch or division chief is given the authority to
make decisions related to the product or service pricing and
operating expenses because they are held accountable for
results.
A Pro Forma invoice is a document
that states a commitment from the seller to sell goods to
the buyer at specified prices and terms. It is used to
declare the value of the trade. It is not a true invoice,
because it is not used to record accounts receivable for the
seller and accounts payable for the buyer. Simply, a
'Proforma Invoice' is a Confirmed Purchase Order where buyer
and Supplier agree on the Product Detail and cost to be
shipped to buyer. A sales quote is prepared in the form of a
pro forma invoice which is different from a commercial
invoice. It is used to create a sale and is sent in advance
of the commercial invoice. The content of a pro forma
invoice is almost identical to a commercial invoice and is
usually considered a binding agreement although the price
may change in advance of the final sale. A Pro forma Invoice can also
be used for shipments containing items that are not being
bought or sold, such as gifts, samples and personal
belongings, whereas a Commercial Invoice is used when the
commodities shipped are being bought or sold. Banks usually prefer a pro
forma invoice to a quotation for establishment of a letter
of credit or for advance payment by the importer through his
bank. Source:
Wikipedia
Proof of Concept is a
demonstration of the feasability of certain concept or
theory. In other words, it is the ability to show that
something can work in the manner you concieved that it will
work. For example, you have an idea that if you
designed a one legged that is safe and sturdy as a four
legged chair it will gain widespread acceptance from
customers. But, before you launch into a massive
production you want to make sure that your product will gain
acceptance so, you decided to produce a small amount and
test them in different markets. As it turn out, they
sold out quickly. Hence, your proof of concept.
A purchase order (PO) is a
commercial document issued by a buyer to a seller,
indicating types, quantities, and agreed prices for products
or services the seller will provide to the buyer. Sending a
purchase order to a supplier constitutes a legal offer to
buy products or services. Acceptance of a purchase order by
a seller usually forms a contract between the buyer and
seller, so no contract exists until the purchase order is
accepted. It is used to control the purchasing of products
and services from external suppliers. . Source: Wikipedia
This is a formal statement of
promise (submitted ussually inresponse to a request for
quotation) by potential supplier to supply the goods or
services requried by a buyer, at specifeid prices, and
within a specified period. A quotation may also contain
terms ofsale and payment and warranties. Acceptance of
quotation by the buyer constitutes an agreement binding on
both parties. Source: Business Dictionary
