To Replace $70,000 of Forgone Salary and Benefits, an Entrepreneur

question 56

Multiple Choice

To replace $70,000 of forgone salary and benefits, an entrepreneur will need the new venture to generate approximately how much in annual revenue?

• A)$70,000
• B)$200,000
• C)$400,000
• D)$600,000
• E)$800,000

---

Definitions:

Gain Or Loss

A financial result that indicates the difference between the sale price of an asset and its original purchase price.

Functional Currency

The primary currency of the main economic environment in which an entity operates.

Asset And Liability Account Balances

The respective values of a company's current and non-current assets, and its current and long-term liabilities at a point in time.

Local Currency

Refers to the legal tender or official currency that is used within a country's borders.