Ch. 36
personal financial statement
A summary of your current financial condition.
interst
If you borrow money to start a business, you wil also have to pay_____
asset
anything of monetary value that you own
gross sales
if your company sells only on a cash basis, then your ______________ will be the total of your cash sales.
net profit(or loss)
The amount of money left over after federal, state, and local taxes are subtracted represents a business's ________
net pay
______ is what an employee receives after deductions for taxes, insurance, and voluntary deductions.
net income from operations
___________ is found by subtracting total expenses from gross profit.
operation expenses
________________ are divided into variable and fixed expenses
liability
a debt that you owe
cash flow statement
a monthly plan that shows when you anticipate cash coming into the business and when you expect to pay out cash.
start up costs
a projection of how much money you will need for your new business's first year of operation.
variable expenses
change every month based upon the needs of the business
fixed expenses
costs which stay the same for a certain period of time
gross pay
the amount earned by an employee is that person's ____________
Net Income
the amount left after operating expenses are subtracted from gross profit
principal
the amount that you borrow.
net worth
the difference between the assets of a business and its liabilities.
cost of goods sold
the total amount spent to produce or buy the merchandise to be sold is called....
gross sales
the total of all sales for any period of time.
Income statement
this financial statement is often called aa profit and loss statement.