Title: Prepare a projected income statement.
Course: Entrepreneurship, Advanced (12053-II) > Section: Projecting Financial Requirements

Preparation should result in allowing the entrepreneur to make decisions for determining capital/cash needs, monitoring expenses, and helping to secure financing.

Process/Skill Questions:

- What is an income statement, and what financial data does it include?
- What are the benefits of preparing a projected income statement?
- What formula is used to calculate an income statement?
- What is the role of the income statement in determining a business's profit?
- What is the gross margin?
- What are variable expenses? What are some examples?
- What are fixed costs? What are some examples?
- How can a business owner use the income statement to monitor the budget?