16
QuizMultiple Choice

The Business Plan

Question 16 • FowU - Financial Math - B

Sam is planning to start a pool cleaning business from his home. He has developed the following cost analysis for the set-up and operation for the first year of his business. He has $9,000 in savings and $23,000 in credit that he can use for the business. Will Sam be able to afford the operational costs of the first year of business on his own?ItemCostTruck$9,000Pool Cleaning Supplies$6,000Payroll$23,000Advertising$1,500

Answer
A
No, Sam will be short $7,500.
B
No, Sam will be short $15,500.
C
Yes, Sam will have $7,500 to spare.
D
Yes, Sam will have $15,500 to spare.
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