Learn Small-Business Unit Economics in 14 Days

  1. Take the opening diagnostic cold
    25 min

    This attempt sets your starting line, so it runs on strict rules: 25 minutes, closed book — no lessons, no web searches, no asking AI. A four-function calculator is allowed; arithmetic speed is not what is being tested. Answer all five questions even when the honest answer is a shrug — write “guess” beside anything uncertain. Wrong answers make the baseline more useful, not less.

    The mini-case: Maria’s coffee cart sells one drink for $5.00. Beans, milk, cup and lid cost $1.75 per drink. Fixed costs run $1,500 per month — $1,200 cart spot rental plus $300 permits and insurance.

    1. After paying the $1.75, how much does one drink leave toward fixed costs and profit?
    2. At 800 drinks sold in a month, what is the monthly profit?
    3. How many drinks per month must she sell to break even — zero profit, zero loss?
    4. How many drinks per day is that over a 30-day month?
    5. Gut call: can a street corner plausibly sell that many drinks daily? Why or why not?