Please respond to the discussion prompt below. Your initial post should be in the 100- to 150-word range and be supported by evidence from outside materials.

Consider the the following small business that was created. Project your monthly sales, and then take a guess about what your expenses are going to be for that same month. Do not forget things like rent, utilities, supplies, inventory, salaries, and pay and profit for you. The small business is is for a random software development company.

Assignment Spreadsheet	Month 1
Revenue
Number of customers
Average price
Total Revenue	0
Expenses
Inventory costs
Advertising
Bad Debt Expense
Bank Charges
Depreciation & Amortization
Dues & Subscriptions
Insurance
Licenses & Fees
Marketing & Promotion
Meals & Entertainment
Miscellaneous
Office Expense
Office Supplies
Outside Services
Payroll Expenses
Salaries & Wages
Payroll Taxes
Benefits
Professional Fees
Property Taxes
Rent
Repairs & Maintenance
Shipping & Delivery
Telephone
Training & Development
Travel
Utilities
Vehicle
Other
Other
Other
Total Expenses	0
Profit	0

Using the template, you will insert your sales, and then you will subtract your major expenses (remember, these are all just guesses, or projections). The template will do the math for you by subtracting the expenses from the sales for a net profit before taxes. This is a simple profit and loss statement. There is more to a real one than can be seen in your work here, but it is a start to being able to understand one of the ways to analyze your finances for a month's time. You do not need to submit or share your spreadsheet, but make sure to refer to it as you respond to the following (You DO NOT need to actually fill put the above spreadsheets, its mainly just for reference and only the questions below are needed to be answered):

• What are some of the main discoveries you made about your business's monthly profit and loss potential as you completed the spreadsheet?
• What questions do financial ratios help answer about a firm's financial performance?
• Select at least two different financial ratios and explain why each would be of interest to certain stakeholders (owners, suppliers, creditors, etc.) and why?