Japanese Business Glossary

固定比率 (kotei hiritsu) translates to "fixed ratio" or "fixed assets ratio" in English. In financial terms, it is a metric used to evaluate the proportion of a company's fixed assets to its total assets or equity.

This ratio helps assess how much of a company's resources are tied up in fixed assets, such as property, plant, and equipment, compared to its overall financial resources. A lower fixed assets ratio generally indicates a more flexible and liquid financial position, whereas a higher ratio might suggest higher long-term investments in fixed assets, which can impact liquidity and financial stability.

株主資本 (kabunushi shihon) translates to "shareholders' equity" in English. This term refers to the residual interest in the assets of a company after deducting its liabilities. Shareholders' equity represents the owners' claim on the company's assets and is a key component of the balance sheet. It includes elements such as paid-in capital, which is the amount of money that shareholders have invested in the company through the purchase of shares, and retained earnings, which are the accumulated profits that the company has reinvested in the business rather than distributed as dividends. Shareholders' equity is an important indicator of a company's financial health and stability, reflecting the net value that shareholders would theoretically receive if all assets were liquidated and all debts paid.

住民税非課税世帯 (juminzei hikazei setai) refers to a "household exempt from resident tax."

In Japan, resident tax (住民税, juminzei) is a local tax levied on individuals based on their income and is paid to the municipal and prefectural governments. A household that is designated as juminzei hikazei setai does not have to pay this tax due to low income or other qualifying conditions.

Being classified as a juminzei hikazei setai can entitle the household to various public assistance programs and benefits, including reductions in or exemptions from certain fees and charges, as well as eligibility for social welfare services. This status is aimed at supporting low-income families and individuals by easing their financial burden.

放棄 (hoki) is a Japanese term that translates to "abandonment" or "renunciation" in English. It is commonly used in legal and business contexts.

In business, hoki can refer to giving up certain rights, claims, or responsibilities. For instance, a company may 放棄 (renounce) certain claims in a legal dispute or hoki (abandon) a project or asset that is no longer viable or beneficial.

取引先 (torihikisaki) is a Japanese term that translates to "business partner" or "client" in English. It refers to companies or individuals with whom a business engages in transactions or has a business relationship. The term encompasses a wide range of business relationships, including suppliers, customers, distributors, and collaborators. Maintaining good relationships with 取引先 is crucial for business success, as these partnerships can significantly impact a company's operations and profitability.

廃棄 (haiki) is a Japanese term that translates to "disposal" or "discard" in English. It refers to the process of getting rid of or throwing away items that are no longer needed or useful.

In a business context, haiki can involve the disposal of various items such as waste materials, outdated equipment, defective products, or any assets that are no longer of value to the company. Proper haiki practices are important for maintaining compliance with environmental regulations and for ensuring efficient and responsible management of resources.