EIE 3rd term quiz

When starting a business, you must answer an important question:

• How much money do you need?

• Where do you go?

• How is your teacher?

• What are you waiting for?

"One of the main reasons most small businesses fail is that they simply run out of cash,"

• They didn't plan their costs

• They didn't plan their life

• They didn't do a business plan

• They have a lot of money

It's easy to overestimate a new company's revenue and underestimate costs.

• It means that you calculate more costs than income.

• It means that you calculate more income and more costs.

• It means that you calculate less costs and less income.

• It means that you calculate less costs and more income

Fixed expenses, such as rent, are ___________ from month to month, whereas variable expenses ___________ on the direct sale of products or services.

• consistent // depend

• different // vary

• variable // mantain

• equal // influence

Here's a short list of costs you'll likely have as a new business: (more than one option is correct)

• Web hosting and other website costs

• Rental space for an office

• Basic supplies

• Sells

Here's a short list of costs you'll likely have as a new business: (more than one option is correct)

• Insurance, license or permit fees

• Advertising or promotions

• Business plan costs

• Donations you receive

How much is your total cost annualized in this case? (Ignore the coma when calculating)

• 184000

• 18500

• 184830

• 184340

Invoices track the sale of a product for inventory control, accounting and tax purposes. Therefore, the invoice ___________ has essential information regarding payment

• date

• colour

• template

An invoice contains ___________ information

• seller & buyer

• seller

• buyer

Invoices are different from purchase orders, because the invoice is created _________ a customer ______ for a good or service.

• before // orders

• before // pays

• after // pays

• after // orders