Exam (elaborations)
ESB V2 Domain 4, Lesson 2 & 3 (1)
- Course
- Institution
ESB V2 Domain 4, Lesson 2 & 3 (1)
[Show more]
Seller
Follow
lydiaomutho
Content preview
ESB V2 Domain 4, Lesson 2 & 3Fixed Costs - ANS-costs that do not vary with production or sales level
Variable Costs - ANS-costs that vary with the quantity of output produced
Cash Flow - ANS-the difference between cash coming in and cash going out of a business
Formula for cash flow - ANS-Total cash - total expenses
Return on investment - ANS-the percentage of the total cost of purchasing an investment and
the profit made from selling that investment
Formula for Return on Investment - ANS-Profit from investment / cost of investment x 100
Burn rate - ANS-A calculation used to measure a business's monthly cash flow.
Run rate - ANS-A calculation used to make projections about a company's future performance.
Formula for Burn Rate - ANS-Beginning balance - Ending balance
Formula for run rate - ANS-revenue x 12
Startup cost - ANS-the cost associated with beginning a business
Operating budget - ANS-A budget that states how managers intend to use organizational
resources to achieve organizational goals.
Bootstrapping - ANS-Using your own savings to start a business
SBA - ANS-Small Business Administration
Timeframe to repay SBA real estate loan - ANS-25 years
Timeframe to repay SBA inventory/equipment loan - ANS-10 years
Angel investor - ANS-a wealthy individual willing to invest in return for equity in a new venture
Crowdfunding - ANS-raising money for a project or venture by obtaining many small amounts of
money from many people
Formula for Net income - ANS-Revenue - Expenses - COGS
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller lydiaomutho. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $7.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
77254 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now