ESB Domain 4 Study Guide

Shay is the sole owner of a flooring company. She is trying to determine her company's equity.

• 23200
• $23,200
• $30,000
• $6,800

T/F Cost of goods sold is the cost of producing the goods sold by the company

• True
• False

T/F Labor and material costs are examples of Cost of goods sold.

• True
• False

• $3,050
• $3,700
• $7,350
• 3050

• $7,350
• 3700
• $8650

• $58345
• $95793
• $567
• $94300

Jessica's rocking chair business had a revenue of $7,000 last month. What's her run rate?

• $869038
• 408634
• $84000
• 84000

T/F: ROI is used by businesses to show how much their investment is earning.

• True
• False

T/F: Investors and businesses use a cash flow analysis to understand how much cash they generate and spends over a period of time.

• True
• False

Adam owns a restaurant. A new dish is being added to the restaurant’s menu. The cost of making the dish is$6.75, and he wants to make a 33% profit on each dish he sells. What is Adam’s selling price?

• $9.23
• $8.98
• 85.21