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ESB Vocabulary Quiz #1

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Questions Answers
Are wealthy individuals willing to finance a business for an equity stake in the business in return. Angel investors
Is making first contact with the customer. Approach
What is the formula for calculating equity? Assets - Liabilities
Shows what a company owns (both assets and liabilities.) Balance Sheet
Is where an owner uses their own savings to fund a business. Bootstrapping
Is used to identify the amount of cash a company is spending each month. burn rate
A written document that details how a business will be structured, managed, run, and grown. Business plan

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