Short MCQ exit ticket on the founder problem, scoreboard, and core distinctions.
Do You Understand the Fixed-Asset Problem?
This short check makes sure you understand why long-term asset costs are treated differently from everyday expenses, what the depreciation scoreboard means, and why investors care about professional asset tracking. Take your time and read each question carefully.
This exit ticket checks your understanding of the launch lesson only. It does not test depreciation calculations yet — those come in the next lessons. Focus on:
- Why long-term asset costs are not treated like everyday expenses
- What cost, accumulated depreciation, and book value each mean
- How the formula Book Value = Cost - Accumulated Depreciation works
- Why investors expect professional asset tracking
Target: Answer at least 4 out of 5 questions correctly. If you score below 4, review Phases 1-3 and try again before moving to the closing phase.
1. Why can't a business expense the full cost of a $15,000 piece of equipment in the month it is purchased?
2. What is the core formula for tracking an asset's value over time?
3. Sarah's company buys a $20,000 delivery van. After 2 years, accumulated depreciation is $8,000. What is the van's book value?
4. Which of the following is a long-term asset rather than an everyday expense?
5. Why would an investor care about how a company tracks its equipment purchases?
If you missed questions, here is what to review:
Missed Q1 or Q4?
Re-read Phase 1. The key idea: long-term assets provide value for years, so the cost is spread across those years instead of expensed all at once.
Missed Q2 or Q3?
Re-read Phase 2. The scoreboard has three parts: Cost (what you paid), Accumulated Depreciation (what has been used up), and Book Value (what is left).
Missed Q5?
Re-read the video transcript in Phase 1. Investors watch how founders handle big purchases because it signals whether the founder understands professional financial management.