About This Chapter
OAE: Finance & Credit - Chapter Summary
As you prepare to take the OAE Marketing test, it's good to know what to expect on the exam. The content of this chapter can prepare you for the test questions on finance and credit through lessons that cover:
- The three C's of credit
- Credit terms, including due date, invoice date and EOM
- Deferred payment vs. cash price
- Recording business transactions in accounting
- Types of loans and calculating monthly loan payments
- Solving interest problems and calculating compounding interest
- Selling stock to raise capital
- Sources of short-term and long-term financing
The video lessons offer a unique learning opportunity by allowing you to watch and review topics at your own pace. Instructors present the lessons in a comprehensive fashion, offering step-by-step guidance to ensure you fully understand the materials.
Objectives of the OAE: Finance & Credit Chapter
The topics covered in this finance and credit chapter are located within the economics, business and entrepreneurship portion of the OAE Marketing test, which constitutes about 28% of the total exam. The test assesses your readiness to teach this subject and determines whether you're qualified to secure licensure in Ohio as a marketing teacher. This test is composed of 100 multiple-choice questions that come in the form of short paragraphs, statements or questions; some might be accompanied by tables or graphs.
The video lessons in this chapter are designed to give you the knowledge of marketing-related finance and credit topics that you may encounter on this exam. Self-assessment quizzes are also available to test your comprehension of the materials and help you practice answering questions similar to those you'll see on exam day.
1. Three C's of Credit: Character, Capital & Capacity
Securing credit is an important and helpful aspect of personal and business financial health. There are three keys to having a solid credit rating: character, capital, and capacity. This lesson will provide insight into each key.
2. Credit Terms: Due Date, Invoice Date & EOM
After watching this video lesson, you will understand some of the key terms that companies use on the invoices that they send to you. Learn how to pay your invoices according to these terms so you aren't late.
3. Deferred Payment vs. Cash Price: Calculation & Interest
Watch this video lesson to learn the difference between paying cash up front for an item versus making payments at a later time for an item. Watch and see how you may end up paying more for an item if you pay later.
4. Recording Business Transactions in Accounting
Recording a transaction is the first step in the accounting cycle. In this lesson, you will learn why transactions are recorded, where they are recorded, and how they are recorded.
5. Calculating Monthly Loan Payments
Watch this video lesson and learn how you can calculate your monthly payment when you are thinking of purchasing a car. Okay, you can also use this formula whenever you are getting a loan!
6. How to Solve Interest Problems: Steps & Examples
If you want to know how your money can earn money, then it's essential to learn about solving interest problems. In this lesson, we'll practice calculating interest amounts and interest rates.
7. Compounding Interest Formulas: Calculations & Examples
Compound interest is a great way to have your money work for you. In this lesson, find out the formula for calculating compound interest and practice using the formula with several examples.
8. Debt Capital Vs Equity Capital
Sufficient capital is essential for starting, maintaining and growing a business. In this lesson, you'll learn how a corporation can raise capital through equity and debt. You'll also learn about the advantages and disadvantages of each approach.
9. Selling Stock to Raise Capital
One method a business can use to raise funds is selling stock to potential investors. In this lesson, you'll learn about raising capital through the sale of stock, including its advantages and disadvantages.
10. Sources of Short-Term Financing
Companies often need to utilize financing to cover shortfalls in cash flow. In this lesson, you'll learn about sources of short-term financing available to companies including trade credit, lines of credit, bank loans and credit cards.
11. Sources of Long-Term Financing
Some businesses require a large amount of capital to get off the ground or expand. In this lesson, you'll learn about sources of long-term financing, including commercial loans, selling equity and issuing debt.
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Transferring credit to the school of your choice
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Other chapters within the Ohio Assessments for Educators - Marketing (026): Practice & Study Guide course
- OAE: Principles of Marketing
- OAE: Market Research
- OAE: Marketing Strategy
- OAE: Market Segmentation
- OAE: Product Planning in Marketing
- OAE: Pricing Strategies in Marketing
- OAE: Marketing Channels & Distribution
- OAE: Marketing for Consumer Decision Making
- OAE: Sales Strategy in Marketing
- OAE: Marketing & Promotions
- OAE: Promotional Design in Marketing
- OAE: Merchandising & Inventory in Marketing
- OAE: Macroeconomics & Marketing
- OAE: Microeconomics & Marketing
- OAE: Business Organization
- OAE: Entrepreneurship
- OAE: Human Resources Management
- OAE: Human Resources & Staffing
- OAE: Business Law for Marketing
- OAE: Business Communication
- OAE: Business Math
- OAE: Business Technology
- OAE: Information Systems
- OAE: Management & Leadership
- OAE: Marketing Education
- OAE: Marketing Careers
- Ohio Assessments for Educators Marketing Flashcards