Week 10 Reading Reflection
- What was the biggest surprise for you in the reading? In other words, what did you read that stood out the most as different from your expectations?
I think the biggest surprise for me was how much goes on
in the back end of the business. This is where the magic really happens. It
truly is all about the numbers and cash flow is King. I just can’t believe how many different
functions like Income Statement, Cost of Goods Sold, Preparing Financial
Budgets, Net Present Value, IRR’s and other various reports are needed to
continue and thrive as a business.
- Identify at least one part of the reading that was confusing to you.
NPV- has always been a number and concept that I have always
struggled with understanding. I guess it’s a lot like inflation, but with
money.
- If you were able to ask two questions to the author, what would you ask? Why?
1) How would you explain how so many small business’s
succeed without knowing how to perform each of the back end activities?
2) Could you tell me which of all of the back end
activities is the most important for the entrepreneur to know himself or can it
all just be understood by an outside accountant to your firm. Which one of
these reports really keeps the owner best abreast of the health of his company?
4) Was there anything you think the author was wrong about? Where do you
disagree with what she or he said? How?
This is so out of my wheel house, I would just have to rely on his
expertise on this subject matter unless I compared his philosophies with
another expert in the field.
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