$ Money, money, money, money $ Really need it. Gotta have it.

Barter Definition: A mercantile system by which goods and services are directly traded for each other and no formal currency is present Context: Developing societies often improve their economic efficiency by introducing currency over a barter system.

Principal Definition: The initial amount of the loan, before interest is added or paid Context: If you take out a loan in the amount of $250 that you will pay back with interest, the $250 is the principal.

Interest or Simple Interest Definition: Money generated by principal over time, as in a loan or savings account. Context: If you borrow $500 and agree to pay it back with 5% of the $500 added in a year, the extra 5% is the interest and 5% is said to be the interest rate.

Compound interest Definition: Interest that accumulates on both the initial amount of the loan (the principal) and the interest already accumulated. Context: Most banks use compound interest instead of simple interest.

Cost Definition: Expenses incurred, as by a business. Context: If a business makes $1,000 and spends $750 for a difference of $250, its costs total $750.

Profit Profit generally is the making of gain in business activity for the benefit of the owners of the business. The word comes from Latin meaning "to make progress", is defined in two different ways, one for economics and one for accounting. Pure economic profit is the increase in wealth that an investor has from making an investment after deducting the costs. Accounting profit is the difference between retail sales price and the costs of acquisition

Discount In finance and economics, discounting is the process of finding the present value of an amount of cash at some future date, and along with compounding cash forms the basis of time value of money calculations.

Present Value for Money in the Future. As an example, suppose an individual wants to find the present value of $100 that will be received in five years time. There is a question of how much is it worth presently, and what amount of money, if one lets it grow at the discount rate, would equal $100 in five years. Let one assume a 12% per year interest rate. PV = 100 dollars divided by 1 plus 12% (0.12) to the power 5 {\rm PV}=\frac{100}{(1+0.12)^5} Since 1.125 is about 1.762, the present value is about $56.74.

Markup * Markup language — a type of language that describes a document's formatting * Markup (business) — a term for the increase in the price of goods to create a profit margin for a business. * Markup (legislation) — a legislative session held to amend bills.

Commission (remuneration), a form of payment to an agent for services rendered. Remuneration is pay or salary, typically monetary payment for services rendered, (given or exchanged) as in an employment.

exchange rate Definition: The factor by . Context: If, at a given time, 100 U.S dollars are worth as much as 110 Canadian dollars, 1.1 Canadian dollars to U.S. dollars is the exchange rate.

Let’s see how a currency converter works. http://finance.yahoo.com/currency?u

References Discovery Education, school resources. Retrieved October 18, 2007 from http://school.discoveryeducation.com/lessonplans/programs/businessMath/ Wikipedia. Retrieved on October 18, 2007 from http://en.wikipedia.org/wiki Wiktionary. Retrieved on October 18, 2007 from http://en.wiktionary.org/wiki Yahoo Finance. Retreived October 18, 2007 from http://finance.yahoo.com/currency?u