OSAT Business Education cheat sheet
OSAT Business Education · Keep the key ideas within reach.
Business Education
Accounting equation: Assets = Liabilities + Owner's Equity; every transaction keeps it in balance, and each entry has equal debits and credits.
Debit/credit rules: debits increase assets, expenses, and drawings; credits increase liabilities, equity, and revenue; normal balances follow the increase side.
Income statement formula: Net Income = Revenue − Expenses; it covers a period, while the balance sheet is a point-in-time snapshot.
Gross profit = Net Sales − Cost of Goods Sold; gross margin % = Gross Profit ÷ Net Sales × 100.
Break-even units = Fixed Costs ÷ (Unit Price − Unit Variable Cost); contribution margin per unit is the denominator.
Current ratio = Current Assets ÷ Current Liabilities; quick ratio excludes inventory and prepaid items from current assets.
Marketing mix (4 Ps): Product, Price, Place, Promotion; the extended services mix adds People, Process, and Physical Evidence.
Business ownership: sole proprietorship and general partnership carry unlimited liability; corporations and LLCs shield owners' personal assets.
Contract essentials: offer, acceptance, consideration, capacity, and legality; a minor may generally disaffirm a contract.
Business Education
Accounting equation: Assets = Liabilities + Owner's Equity; every transaction keeps it in balance, and each entry has equal debits and credits.
Debit/credit rules: debits increase assets, expenses, and drawings; credits increase liabilities, equity, and revenue; normal balances follow the increase side.
Income statement formula: Net Income = Revenue − Expenses; it covers a period, while the balance sheet is a point-in-time snapshot.
Gross profit = Net Sales − Cost of Goods Sold; gross margin % = Gross Profit ÷ Net Sales × 100.
Break-even units = Fixed Costs ÷ (Unit Price − Unit Variable Cost); contribution margin per unit is the denominator.
Current ratio = Current Assets ÷ Current Liabilities; quick ratio excludes inventory and prepaid items from current assets.
Marketing mix (4 Ps): Product, Price, Place, Promotion; the extended services mix adds People, Process, and Physical Evidence.
Business ownership: sole proprietorship and general partnership carry unlimited liability; corporations and LLCs shield owners' personal assets.
Contract essentials: offer, acceptance, consideration, capacity, and legality; a minor may generally disaffirm a contract.