2.01 Entrepreneurship ll Start-up Vocabulary

Money payments for labor on an hourly, daily, or weekly basis

• Wages

• Benefits

• Income statement

• vacation time

Operating costs, sometimes referred to as overhead, are cost incurred through a business' daily normal operations.

• True

• False

Professional services are fees required to pay attorneys and consultants.

• True

• False

Costs that do not change depending on output

• Variable costs

• Fixed costs

• Total costs

• Output

Electricity, water, and waste collection are called Utilities.

• True

• False

These are the costs that change based on output.

• Fixed costs

• Variable costs

• Output

Profit/Loss..

• Revenue minus Expenses

• Selling price x number of units sold

Expenses an organization incurs that are not directly tied to a specific function such as manufacturing, production or sales.

• Administrative Costs

• Benefits

• Technology Costs

• Wages (Salary)

Advantages or payments employees receive in addition to their wages (e.g., sick time, holiday pay, health insurance).

• Wages(Salary)

• Start-up Costs

• Benefits

• Professional Fees

The total amount of money spent on costs of materials, labor, taxes, etc., to manufacture economic goods and services.

• Costs of Production

• Benefits

• Start-up Costs

• Sales and Marketing Costs