1. Find a good business idea
A good business idea isn’t just one that turns a profit. It’s one that’s a good fit for you personally, for your target market, and for your location. You’re going to be in business for the long haul, so you really should pick something you can live and breathe.
<span><span>Identify your strengths and weaknesses <span>Conduct a SWOT analysis<span> on yourself </span></span></span><span><span>Come up with a business idea </span>that caters to your strengths </span><span><span>How to start inventing things </span>(or how to find something to invent)</span>Define what success looks like for you <span><span>Do your research: </span><span>What are popular businesses today?</span></span></span>
Answer:
D. Contribution margin would be equal to total fixed costs
Explanation:
As we know that
break even point is the point at which the firm is earning no profit or no loss suffered
In equation, it is
Total cost = Total revenues
In addition,
The contribution margin = Sales - variable expenses
Therefore
The contribution margin = Fixed cost = break even point
If we subtract the contribution margin from the fixed cost the amount should be zero which implies the break even point
Answer:
Check the explanation
Explanation:
Alternative A
Let the break even point be X, then
Total Revenue = Total Expense
60*X = (300000 + 25*X)
35*X = 300000
X = 8571.43 Units
Alternative B
Let the break even point be Y, then
60*Y = (250000 + 30*Y)
30*Y = 250000
Y = 8333.33 Units
Answer:
The incurrence of a loss is reasonably possible.
Explanation:
A contingency loss is an expense charge on the financial statements for an event that may arise in future (a lawsuit).
If the amount of contingency loss can be estimated to a reasonable extent and the likelihood of the event happening is high, such loss will be recorded in the accounting records as an expense in the current accounting year. The loss has to be material enough for it to be recognized, although materiality is relative. What is termed "material" by one firm may be "immaterial" to another.