Comprehension Assessment - 41-90 Second Pizza - Loan Officer Role Play

Loan Officer's Analysis Quiz

First, enter your information. Then, complete the analysis quiz.

Student Information

First Name

Last Name

Period

Analysis Questions

1. According to the business proposal, what is the primary operational model of the business?

A full-service, dine-in restaurant with a large menu.A take-and-bake pizzeria with a streamlined menu, open only on weeknights.A delivery-focused ghost kitchen operating 7 days a week.A food truck that moves to different locations in Van Wert.

The plan is built on the efficiency of a take-and-bake model, a small menu, and a Monday-Friday schedule to keep costs low.

2. What is the projected Net Operating Profit per month during the first year of operation?

$9,325$1,000$2,860$6,465

This is the calculated profit after subtracting the Cost of Goods Sold and all monthly Overhead from the Total Sales.

3. Based on the Year 1 projections, does the business's monthly profit of $2,860 cover the bank's monthly loan payment of ~$1,000?

Yes, the profit comfortably covers the loan payment.No, the business is projected to lose money.No, the profit is less than the loan payment.Yes, but only because of the owner's capital injection.

A profit of $2,860 is more than double the required loan payment of ~$1,000, leaving a surplus.

4. What is the single biggest financial advantage of the business model as proposed for Year 1?

The business will have very high daily sales.The business has no labor costs because it is a solo operation.The business gets its ingredients for free.The business does not have to pay rent.

By eliminating employee wages, the business removes what is typically the largest single operating expense for a food establishment.

5. What is the primary problem this business claims to solve for its customers?

The high cost of restaurant food.The lack of healthy food options in Van Wert.The scheduling difficulty of having a hot meal when a family's schedule is chaotic.The long wait times for pizza delivery.

The entire concept is built around solving the '5 PM Chaos' by allowing customers to bake the pizza on their own schedule.

6. What is the strategic reason given for being closed on weekends?

To save money on electricity and other utilities.Because the owner wants to have weekends off.To specialize in the 'weeknight rush' and create scarcity, similar to the 'Chick-fil-A' model.Because it is illegal for take-and-bake businesses to operate on weekends.

The proposal explicitly states it's a specialist in weeknight meals and that being closed on weekends creates urgency for customers.

7. From a banker's perspective, what is the most significant risk associated with the applicant, John Robertson?

He is asking for too much money.His marketing plan is too aggressive.He has a background in construction, not business management.He does not have any of his own money invested.

A banker would see a lack of direct experience in finance, marketing, and management as a significant risk, despite the applicant's work ethic.

8. How does the business plan to connect with the local Van Wert community?

By offering the lowest prices in town.By using a generic, national brand name.By naming its signature pizzas after local landmarks like the Lincoln Highway and The Quarry.By being open 24 hours a day.

This strategy of 'hyper-local branding' is designed to create an authentic connection with the community's identity and history.

9. According to the proposal's long-term outlook, what is the applicant's stated goal for the business in Year 10?

To sell the business and retire.To franchise the business across Ohio.To keep it as a small, one-person operation.To use the profits to open a second location in a nearby town.

The 10-Year Outlook explicitly states a vision to replicate the successful model in a town like Delphos.

10. Which statement best describes the primary trade-off the bank must consider when evaluating this loan?

The applicant's high-risk, high-profit model vs. a safer, low-profit model.The immediate risk of a new, solo venture vs. the potential of a profitable, multi-location business in the future.The high cost of premium ingredients vs. the lower quality of standard ingredients.The ethics of lending to a business that will compete with other local restaurants.

This captures the core dilemma: Should the bank bet on the promising 10-year vision despite the significant risks of the one-person operation in Year 1?

11. What specific strategy does the applicant use to increase the average sale per customer?

Offering a 'buy one, get one free' deal every day.Placing a curated cooler of high-demand drinks and snacks near the checkout.Requiring a two-pizza minimum for all orders.Selling merchandise like t-shirts and hats.

The 'Van Wert Fuel' Cooler is explicitly designed to be a key profit center by encouraging impulse buys of high-margin items.

12. If a banker's primary goal is to minimize risk, which of the applicant's weaknesses would be the most compelling reason to DENY the loan?

The business name is not creative enough.The sales projections might be slightly too optimistic.The business model relies entirely on one person with no backup.The long-term expansion plan is too ambitious.

This represents a 'single point of failure.' An illness or injury to the owner would immediately halt all business operations and revenue, making it impossible to repay the loan. This is a massive risk.

Final Step: Record Your Decision

Your quiz score has been submitted to the spreadsheet. Now, proceed to the official loan committee form to record your final decision ("APPROVED" or "DENIED") and provide your justification.

Go to Final Decision Form

41-90 Second Pizza - Loan Officer Role Play

Loan Proposal

The 419 Slice Co.

Primary Source Document

Applicant: John Robertson, Sole Proprietor

Business Name: The 419 Slice Co. (Take-and-Bake)

Location: Van Wert, OH

Loan Amount Requested: $60,000

Owner's Capital Injection: $15,000

Business Concept & Personal Statement:

My name is John Robertson. For the last ten years, I've worked as a construction worker here in Van Wert. I know what a long, hard day feels like, and the last thing I want to do when I get home is figure out a complicated dinner. I see my friends and coworkers struggling with the same "5 PM Chaos" every single day.

My business, "The 419 Slice Co.," is my practical solution to that problem. It's a take-and-bake pizzeria with a simple, efficient model. A parent can stop in, be in and out in under 90 seconds, and have a fresh, high-quality pizza to bake at home when their family is finally ready to eat. I plan to be the sole employee to start, handling all the work myself to keep costs down and ensure quality. I know how to work hard, and I’m ready to build this business from the ground up.

We will only be open Monday through Friday. This is a strategic decision for two reasons. First, on weekends, families are more likely to go out for a sit-down meal or have time to cook themselves. We are specialists in the weeknight rush. Second, being closed on weekends creates scarcity and urgency—a "Chick-fil-A" model. If people want our convenient, high-quality pizza, they know they need to get it during the work week.

Our Signature Products:

• The Lincoln Highway All-Meat: A nod to the famous road that runs through our town.
• The Quarry Classic: A deluxe pizza named after the local landmark.
• The "Van Wert Fuel" Cooler: A curated cooler with high-demand energy drinks (Celsius®, Monster®), sodas, and snacks (Takis®, Doritos®).

Projected Financials - Year 1 (The Startup Phase)

• Projected Sales: A conservative target of 25 pizzas per day.
• Total Monthly Sales: $9,325
• Total Monthly Costs (COGS + Overhead): $6,465
• Net Operating Profit: $2,860 per month.
• Loan Repayment Plan: The requested loan will have a payment of approximately $1,000 per month. The business's projected profit comfortably covers this payment and provides a livable salary for me as the owner. My $15,000 in personal capital will serve as a robust safety net.

5-Year Outlook (The Growth Phase)

By Year 5, The 419 Slice Co. will be an established and popular local brand. The goal is to transition from an owner-operator to a business manager.

• Projected Growth: The daily sales target will grow to an average of 45 pizzas per day.
• Hiring: I will hire two trusted part-time employees to handle daily operations.
• Projected Net Profit: ~$5,300 per month.
• Impact: The business is now a reliable local employer and a highly profitable enterprise. The original $60,000 loan will be nearly paid off.

10-Year Outlook (The Expansion Phase)

By Year 10, the business will be a cornerstone of the local food scene, ready for expansion.

• Vision: The operational model in Van Wert will be perfected and highly efficient.
• Expansion Plan: I will use the accumulated profits from the Van Wert location to fund the opening of a second "419 Slice Co." in a nearby town, such as Delphos.
• Long-Term Impact: The business will have created a proven, profitable, and repeatable model, employing 4-5 people across two locations.

Key Strengths:

• Exceptional Profit Potential: The initial owner-operator model is highly profitable, creating a strong foundation for future growth.
• Clear Long-Term Vision: The applicant has a realistic and compelling plan for growth.
• Hyper-Local Brand: The business is authentically designed for the Van Wert community.

Key Weaknesses / Risks:

• Extreme Owner Dependency (Single Point of Failure): If I get sick or injured, the business closes.
• Lack of Formal Business Experience: My background is in construction, not management or finance.
• Unproven Projections: The sales targets are educated guesses and are not guaranteed.

Pizza Business #2 (beta)

Pizza CEO

🏆 Scoreboard

Design your business, stay on budget, and maximize your profit.

DAILY BUDGET

$700

TOTAL DAILY COST

$0

TOTAL DAILY PROFIT

$0

NET DAILY PROFIT

$0

Twist of Fate!

Even the best plans are subject to chance. Let's see what the future holds for your business.

Final Business Report

Your Chosen Strategy:

Your Hired Team:

Twist of Fate Event:

Final Financials

Metric	Initial	Final
Daily Cost
Daily Profit
Net Daily Profit

Annual Profit Projection

Add to Scoreboard

Pizza Business #2 (beta) scoreboard

🏆 Top 20 Scores

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Loan Officer Simulator

Your goal: Survive 15 rounds and maximize bank profits!

Bank Profit

$10,000

Job Security

100%

Round

1 / 15

Loan Proposal

Applicant:

Loan Amount:

Purpose:

Set the interest rate:

Game Over!

You've been fired for poor performance.

Final Bank Profit:

Congratulations!

You've successfully completed your 15 rounds as a Loan Officer!

Final Bank Profit:

Complete Your Exit Ticket

Credit Cards - Two Player Food Truck Showdown

Welcome to Wing Wagon!

Player 1 Name:

Player 2 Name:

Wing Wagon Tycoon

A Game of Profit, Debt, and Financial Choices

Red Robins

Cash: $0

Credit Card Debt: $0 / $1000

Net Worth: $0

Blue Jays

Cash: $0

Credit Card Debt: $0 / $1000

Net Worth: $0

Turn 1 of 10

It's Player 1's Turn!

Step 1: Buy Supplies

Fryer Oil ($10)

Chicken ($20)

Fries ($5)

Sauces ($5)

Gasoline ($10)

Total Purchase Cost: $50

Step 2: Choose a Location to Sell

Step 3: Pay Your Credit Card Bill

You have $0 in cash and $0 of debt.

How much do you want to pay?

$0

Step 4: Finish Your Turn

Game Over!

Game Log:

Welcome to Wing Wagon Tycoon! Player 1, buy some supplies to start your business.

Hall of Fame

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