E1 2nd Semester Final Review

Which of the following would be added to the Revenue Streams on the Business Model Canvas? Select that apply.

• Income from sales

• Cost of materials

• Payment to workers

• Expenses for rent

Which of the following are examples of a direct competitor to Starbucks? Select all that apply.

• Coffee Bean

• Red Bull

• Peet's Coffee

• Jamba Juice

Direct competitors are those businesses that solve the same problem or fulfill the same customer need with a different solution.

• True

• False

How is revenue different than profit? Select one.

• Profit is the amount of money brought in, while revenue is what money remains after costs are deducted.

• Revenue is the amount of money brought in, while profit is what money remains after costs are deducted.

• Revenue and Profit are synonymous; they mean the same thing.

• Profits are used to calculate price, while revenue is used to calculate costs.

What are the costs that are associated with providing your service or making your product called? Select one.

• Fixed Expenses

• Contribution Margin

• Startup Costs

• COGS

• Revenue

What are the costs normally paid on a monthly basis, used to operate your business called? Select one.

• COGS

• Startup Costs

• Fixed Expenses

• Contribution Margin

• Revenue

What are startup costs? Select one

• Monthly expenses needed to operate your business.

• Costs associated with providing service or making your product.

• Initial, normally one time expenses, needed to begin to operate your business

• The costs to create a new prototype

You are running a tutoring service. What is the cost of your employee to provide the tutoring? Select one

• Variable Expenses

• Fixed Expenses

• Startup Costs

• Revenue

You are starting a magnet business and you need $100,000 of inventory in order to start selling. What is this cost considered? Select one

• Startup Costs

• Fixed Expenses

• Profit

• Variable Expenses

A new coffee shop had the following figures reported during their first month in business:

16 oz coffee selling price: $2.50

Supplies: $10,000

Insurance: $1,000

Rent: $3,500

Units Sold: 1,500

Q: What is their total REVENUE for the month?

• - $750

• $3,750

• $14,500

• $250