Business Plan Math - Math Quiz

Business Plan Math - Math Quiz

Assessment

Assessment

Created by

Julia Salerno

Business

11th - 12th Grade

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Hard

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10 questions

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1.

Multiple Choice

30 sec

1 pt

Production space in a building costs $22 per sq ft per year. You are looking at leasing a space that is 345 ft x 123 ft. What will your annual lease cost be?

$34,875

$532,456

$933,570

$987,324

2.

Multiple Choice

30 sec

1 pt

You plan to lease a building for your business. The building owner wants first month's rent, last month's rent, and a security deposit of one month's rent -- all due at the lease signing. If R represents one month's rent, which formula shows the amount you will need at the lease signing?

R

2R

R + 3

3R

3.

Multiple Choice

30 sec

1 pt

You have a part with material cost of $20 per unit. You can buy a new machine that will cut material waste in half (make twice as many units from the same material). The machine costs $1,000. How many units do you have to make to recover the cost of the machine?

50

100

150

200

4.

Multiple Choice

30 sec

1 pt

Business leases are often "triple net." This is sometimes written as NNN. It means the lease cost shown does not include property taxes, building insurance and common area maintenance. These must be paid by you separately. If the listed lease for a building is "$4,000 per month NNN" and taxes, insurance and maintenance come to $2,300 per month. What will your total monthly cost be?

$2,300

$4,000

$6,300

$7,000

5.

Multiple Choice

30 sec

1 pt

Your business plan calls for the following monthly cash flows: -$700, -$500,-$300,+$200,+$400 as the business gets going. You start with $5,000 in cash. What is your lowest planned cash balance as you get the business off the ground?

$700

$3,500

$5,000

$5,700

6.

Multiple Choice

30 sec

1 pt

You have leased production space that is 275 ft x 200 ft. The property owner charges $5 per square foot to calculate the annual cost. How much is the annual cost?

$1,375

$55,000

$275,000

$460,000

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