Marketing EssentialsSection 1:
Preparing Financial DocumentsAfter You Read Online ActionReviewing Key Terms and Concepts - The personal financial statement is a summary of your current personal
financial condition.
- An asset is anything of monetary value that you own. A liability
is a debt that you owe. Net worth is the difference between assets and liabilities.
- One-time costs are expenses that will not be repeated after you begin
operating the business. Continuing costs are operating expenses you will pay
throughout the life of the business
Integrating Academic Skills - Start-up costs = $28,600; $3,800 + $22,800 + $2,000 = $28,600
Step 1: Initial expenses = $3,800
Step 2: Money for reserve = $22,800 0r ($2,500 + $750 + 550 = $3,800) X 6 months
= $22,800
Step 3: Start-up inventory = $2,000 - Answers will vary; you should identify economic factors, including
prevailing wage rates, availability of trained personnel, cost of doing business,
such as business taxes, workers’ compensation rates, and cost of property.
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