| A | B |
|---|
| entrepreneur | someone who organizes and runs a business |
| start-up costs | the expenses involved in going into business |
| lease | a contract to use something for a specified amount of time |
| goodwill | the loyalty of experienced customers |
| market outlook | potential for future sales |
| franchise | the legal right to sell a company’s goods and services |
| sole proprietorship | the business is completely owned by one person |
| partnership | two or more people share ownership |
| corporation | a business chartered by the state that legally operates apart from owners |
| operating expenses | the costs of doing business |
| income statement | this document shows how much a business has earned or lost |
| revenue | income from sales |
| gross profit | difference between the costs of goods and their selling price |
| net profit | the amount left after operating expenses are subtracted from the gross profit. |
