Greetings from COK #3. These last three posts were challenging stuff. So, don’t worry if it has not all sunk in. These concepts take some getting used to so relax and lets see what you know.
1. Which one of the following equations relates to accounting?
A. E = M*C^2
B. F = M*A
C. A = L + SE
D. V = I*R
2. Which of the following is NOT a main financial statement?
B. Balance Sheet
C. Cash Flows
D. Profit & Liquidity
3. COGS stands for
A. Cost of Goods Sold
B. Cost of Goods Shipped
C. Cost of Gross Services
D. Comparison of Goods Shipped
4. What is an IRR?
A. The fancy gadget on your VCR
B. The percent growth of an investment over a predetermine period of time.
C. Internal rate at which everyone gets paid
D. None of the Above
5. In general, what do Venture Capitalist look for in an investment?
A. State of the art products
B. A 10x return in 3-5 years
C. A big patent portfolio
D. Working with cool people.
6. What’s the difference between Debt and Equity Financing
A. With debt, you give up a percentage of your company. With Equity, it’s a loan.
B. Equity is only for public companies while debt is for private.
C. Debt is a lone that you pay back monthly. Equity gets money by selling shares (or ownership %) in your company.
D. Equity allows you to completely control the company while debt, you give up control