Chapter 4

Question 1

is a written record that lists a company’s goals, strategies, and ideas for how it will run.

Answer 1

Business Plan

Question 2

Users of business plans

Answer 2

1. Entrepreneur
2. Lender
3. Investor

Question 3

It usually refers to data, facts, or information that is important for running and managing a business or organization on a daily basis.

Answer 3

Operational information

Question 4

Address of the business’s building, influencing accessibility, cost, and customer acquisition.

Answer 4

Location

Question 5

Considers work areas, storage, and production areas.

Answer 5

Requirements for room

Question 6

Details the basic materials needed for production.

Answer 6

Needed raw materials and possible suppliers

Question 7

These are things like power, water, gas, and internet that are necessary for the business to run.

Answer 7

Utilities

Question 8

were talking about data, details, or facts about how much money a business or group makes.

Answer 8

Financial information

Question 9

Information about how much money you make from things like sales, services, and other sources.

Answer 9

Income

Question 10

A list of all the costs that were incurred, such as rent, salaries, utilities, and so on.

Answer 10

Expenses

Question 11

are summaries of how well a business did financially.

Answer 11

Profits and loss statements

Question 12

Quick views of a business’s money situation.

Answer 12

Balance Sheets

Question 13

Shows how much cash is coming in and going out, giving information about liquidity.

Answer 13

Cash flow statements

Question 14

planned amounts of money to be spent on planning and keeping track of things.

Answer 14

Budgets

Question 15

These are numbers that show how healthy a company’s finances are.

Answer 15

Financial ratios