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Expenses that are NOT affected by sales volume are called Fixed costs A short-term loan is repayable in One year
One factor that affects start-up costs of a new business is Whether the business is a retail or wholesale organization When seeking a loan, an entrepreneur who has capacity Demonstrates the ability to repay the debt
Miscellaneous expenses incurred by the entrepreneur for clothing, travel and entertainment are Personal expenses One advantage of entering into a partnership with people or with other companies having compatible goods is that a partnership Increases the borrowing power of the business
A local doughnut shop incurs a number of expenses during the month to keep the business running. Which is an expense that will change from week to week or month to month? Cost of baking ingredients Initial inventory for the business is which type of cost Start-up cost
Buoy's Restaurant sets aside $400 a month to cover unexpected expenses. This represents a/n Contingency fund As she prepared to open her new flower shop, Jamesia made several trips to talk with an accountant. The fees paid for those consultations would be classified as Start-up costs
Expenses that do NOT remain the same from month to month are Variable costs Advertising and promotion expenses for an ongoing business are Variable costs
Deposits paid prior to opening the business to connect utility services for a new business are considered Start-up costs Which is NOT a factor that affects start-up costs Number of customers who purchase goods/services on opening day
Created by: porsha2012
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