Entrepreneur Flashcards
(18 cards)
Break-even point
The minimum sales revenue or total units sold needed for a business to be able to cover its own expenses.
cash flow forecast
Process of estimating the cash that will be coming into a business.
debt financing
Obtaining funds to start or operate a business by borrowing money that has to be paid back to a leader.
demand
The quantity (amount) of a good or service buyers are willing to purchase.
equity financing
obtaining funds to start or operate a business by selling shares of owner shares of ownership in the business.
expense
Product costs plus operating expenses.
interest
Price being paid to the leader for using his or her money.
lossTotal E
Total expenses minus total revenue expended, over a period of time.
market price
That price at which the quantity that buyers are willing to buy.
operating expenses
costs that are required to cover the basic, ongoing of the business rent.
opportunity cost
the next best alternative use given up when resources are used for an item or activity.
product costs
usually refers to the cost of the actual materials and labor used to produce the goods that are sold to customers.
profit
total revenue minus total expenses, over a period of time, when total revenue is greater than total expenses.
revenue
Total dollar amount a business receives from the sale of its goods or service over a particular period of time.
start-up costs
total amount of money needed to get a business up and running.
supply
the quantity of a good or service sellers are willing to supply.
Target market
A smaller portion of the overall main customer group for a particular business or industry.
venture capitalist
organization or individuals who professionally provide equity financing for entrepreneurial ventures that are typically too risky to qualify for bank loans.
