Why Business Matters From A Christian Perspective

Profitability is an important criterion to judge the success of the business. Accounting has a big role in determining business profitability. Using accounting we can maintain proper records of all business dealings, which later on assists in computing business profitability. It is only accounting due to which we can easily make financial statements at the end of each accounting year and find out the profit earned or loss suffered in the business. Thus, Accounting provides us significant information which we further analyze and come up with material conclusion or decision.

In the seventh chapter of Why Business Matters to God, Van Duzer asks readers to answer some questions to see if they have an understanding so far on how they then should do business? Some of the questions included on what the proper purpose of business and what are some of the convenient limit to the practices of business. Some of the major points are the answers to the three questions that were introduced about the summary of business framework. The first main point within the novel is the purpose to serve. The author states that to understand why business matters to God, you have to understand the role that God plays in wanting to profit companies within our world.

This paper will explore what a Biblical Worldview is and present a Biblical Worldview process of contracts, ownership and responsibility.

Historically the what, where, when, and how of culture has been a struggle of Christianity in an individual and corporate capacity (Solomon, 1992). Should Christians ignore, isolate or transform culture? A classic study regarding these questions was completed by theologian Richard Niebuhr (Niebuhr) in his book, Christ and Culture. However, Jeff Van Duzer (Van Duzer), author of Why Business Matters to God, combines Niebuhr’s philosophy and Christian business ethics. This document will examine Niebuhr’s typologies, the five types of Christian cultural engagements from Dozer’s Christian ethical business point of view.

Profit is the money that a business earns in revenue, minus investments, and the cost of salaries.

The acts of accounting and finance date back to the beginnings of recorded history and has evolved over the centuries to become a cornerstone of societies across the globe. Both the Old and New Testament of the Bible discuss the subject of accounting and finance in many scriptures and parables. The biblical concepts taught about accounting and finance are, without fail, applicable to modern business. Without an ethical foundation build upon a biblical foundation accounting and finance practices are bound to fail. This paper will tie biblical concepts to accounting and finance as well highlight the implications of a secularism.

Dr. Wayne Grudem is a New Testament scholar turned theologian, author, and Research Professor of Bible and Theology at Phoenix Seminary, Arizona ("Wayne Grudem," ). In lieu of many of his great accomplishes, Dr. Grudem has also written numerous books and articles. Among those books, he is the author of Systematic Theology: An Introduction to Biblical Doctrine, which advocates a Calvinistic soteriology, the verbal plenary inspiration and inerrancy of the Bible, the body-soul dichotomy in the nature of man, and the complementarian view of gender equality ("Wayne Grudem," ). In 2003, Dr. Grudem released a book titled “Business for the Glory of God: The Bible's Teaching on the Moral Goodness of Business”. Within this work, Dr. Grudem tackles

In order to assess whether the accounting profit is a measure of the true profit it must first

Gross profit is defined as the difference between Sales and Cost of Sales. The gross margin (or gross profit ratio) expresses the gross profit as a proportion of net sales. The gross profit margin ratio measures how efficiently a company uses its resources, materials, and labour in the production process by showing the percentage of net sales remaining after subtracting the cost of making and selling a product or service. It indicates the profitability of a business before overhead costs. The higher the percentage, the more the business retains of each dollar of sales. So: the higher the gross profit margin ratio, the better.

As a Christian that is going into the field of accounting and finance, I find that is extremely important to know what my ethical values are. When things get difficult in the workplace, I need to be able to stand up for my beliefs and follow them even when it may cause me trouble. In the world of finance, the most important goal is maximizing wealth and profits at all costs. This paper will look at some of the ways a Christian financial manager can re-act to some of the things that the finance industry will throw at them.

Profit is a surplus in money after taking into account all costs incurred in buying and selling a product. Operating profit is the profit made after all direct and indirect costs have been paid. (Bized, 2010a) From NEXT’s company accounts, the operating profit has increased by £51.5m. This is a positive steady increase which has been achieved throughout the

The gross profit margin measures the amount of profits that a company generates from its operations without consideration of its indirect costs. Thehigher thegross profit margin, the greater the efficiency of a company’s operations (Besley & Brigham 2007). It means that the company is generating enough income to cover its operating expenses. On the contrary, a lower gross profit margin indicates that the business is not generating adequate income to cover its operating expenses.

Christians are called to the higher purpose of fulfilling a spiritual life in accordance to God’s will (II Timothy 1:9 New Living Translation, NLT). At the same time Christians are a part of society and therefore participate in the wealth of the economy. Although some have challenged business is morally neutral, business can be a wonderful way to bring glory to God (Grudem, 2003). This is possible when Christians apply their Christian worldview and abide by a code of conduct constructed from this worldview (Ruddell, 2004). This paper will examine the process of constructing an ethics program based on a Christian worldview.

As Christians, we are required to show God’s rule in all occupations. We exercise dominion by becoming good stewards to the gifts He has bestowed upon us. God expects us to use our gifts to the fullest. “From everyone who has given much, much will be demanded; and from the one who has been entrusted with much, much more will be asked.” Luke 12:48 (NIV). The idea of biblical entrepreneurship and the Christian worldview are closely related.

Company B (88.9%) has a higher gross profit margin most likely because the firm not only manufactures and mass markets a broad line of prescription pharmaceuticals, over-the-counter remedies, consumer health and beauty products but also manufactures medical diagnostics and devices. Company A is lower (76.1%) due to its limited product range (only manufactures drugs).