Equity
The cash a company has, a company’s accounts receivable, inventory, equipment, and company vehicles are________
What are Assets?
Subtracting the cost of goods and expenses from income calculates ________.
What is net income?
Investors and businesses use a ___________ analysis to understand how much cash the business generates and spends over a specific period.
What is cash flow?
__________ are the money that a company owes, and this includes accounts payable such as credit card payments, bank loans, and mortgage payments.
What are Liabilities?
Subtracting the cost of goods from income calculates _____________.
What is gross income?
Subtracting total costs from total cash calculates an ______________.
What is ending cash balance?
A(n) __________ is a financial report that shows a company's assets, liabilities, and equity for a specific period.
What is a Balance Sheet?
Multiplying gross profit by the tax rate calculates ______________.
What is income tax expense?
Subtracting a month’s ending balance from a month’s starting balance calculates a _________.
What is Burn Rate?
Subtracting liabilities from assets calculates ________.
What is Equity?
Dividing total expenses by sales price calculates a _____________.
What is break-even point?
Multiplying a month’s revenue by 12 calculates a __________.
What is run rate?
Miguel sells cars. He has $26,000 in cash, $34,000 in inventory, a $4,600 credit card balance, and $7,900 in long-term debt. What is Miguel’s equity?
What is $47,500?
Jane owns a dress-making business. Her income last quarter was $8,000, her cost of goods was $1,500, and her total expenses were $3,000. What were Jane’s gross income and net income?
Gross income: $6,500
Net income: $3,500
Yennifer sells candles. Last month, her starting balance was $6,200, her ending balance was $4,900, and her revenue was $2,300. What was Yennifer’s burn rate for last month, and what is her current run rate?
a. Burn rate: $1,300
b. Run rate: $27,600