Entrepreneurship Financial

What is the term for the initial funding used to start a business?

• Revenue

• Capital

• Profit

• Expense

Which term describes the total amount of money a business earns before any expenses are subtracted?

• Net Income

• Gross Income

• Operating Income

• Net Worth

What is the term for the cost of borrowing money, usually expressed as a percentage of the amount borrowed?

• Dividend

• Interest

• Equity

• Depreciation

Which term refers to the financial gain obtained when the amount of revenue gained exceeds the expenses?

• Loss

• Profit

• Debt

• Liability

What is the term for the money that a business owes to its creditors?

• Assets

• Liabilities

• Equity

• Revenue

Which term describes the resources owned by a business that have economic value?

• Liabilities

• Assets

• Equity

• Expenses

What is the term for the financial statement that summarizes a company's revenues and expenses over a specific period?

• Balance Sheet

• Income Statement

• Cash Flow Statement

• Statement of Retained Earnings

Which term refers to the distribution of a portion of a company's earnings to its shareholders?

• Dividend

• Interest

• Capital Gain

• Revenue

What is the term for the amount of money that remains after all operating expenses, taxes, and interest have been deducted from total revenue?

• Gross Profit

• Net Profit

• Operating Profit

• Gross Income

Which term describes the process of allocating the cost of a tangible asset over its useful life?

• Amortization

• Depreciation

• Depletion

• Appreciation