Entrepreneurship Flashcards
Break-even point
the minimum number of units that need to be sold over a given period
Cash flow forecast
estimating cash coming in and going out based on past business performance.
Debt financing
occurs when a company raises money by selling debt instruments to investors.
Demand
a principle of economics that captures the consumer’s desire to buy the product or service.
Equity Financing
Expense
the cost required for something; the money spent on something.
Interest
the price you pay to borrow money or the cost you charge to lend money.
Loss
an amount of money lost by a business or organization
Market price
Operating expenses
an ongoing cost for running a product, business, or system.
Opportunity cost
the loss of potential gain from other alternatives when one alternative is chosen.
Product cost
the direct costs involved in producing a product.
Profit
a financial gain, especially the difference between the amount earned and the amount spent in buying, operating, or producing something.
Revenue
income, especially when of a company or organization and of a substantial nature.
Start-up costs
amounts the business paid or incurred for creating an active trade or business, or investigating the creation or acquisition of an active trade or business
Supply
the total amount of a specific good or service that is available to consumers.
Target market
a particular group of consumers at which a product or service is aimed.
