Students Inc．
   Do you want to have your own company？Do you know how to set up a company？
   Here're the three steps before you set up a company．Now read and follow it and maybe you can realize your dream!
   Doing Research
   Think about a product that you can make and sell．Your first job is to choose something that people might want．Choose something that is easy to make．Look at the products for sale in stores．Look at magazine ads．Think about the things that you buy．
   Brainstorm ideas with your classmates．
   Your second job is to price your product．You want your product to be in high demand （需求）．People should want your product．But they should also be able to buy it．Check store prices on products that are like yours．
   Collecting Information
   1．List three products that you could make．People must want the product．Each product must also be simple enough to make easily．
   2．Ask your friends if they would buy any of these products．Ask how much they might pay for them．Take notes on another piece of paper．
   3．Use what you found out to decide which product to make．
   Analyzing （分析） Information
   1．How much should you charge for your product？Remember，people should be able to buy your product．Also，you must be able to make a profit （利潤(rùn)）．How much does it cost to make your product？
List the materials that you will need to make a sample of your product．Also list the cost of those materials．
   2．Figure （計(jì)算） labor costs．
   Example：It takes Marco 1.5 hours to make one bag．He thinks his time is worth 5.00 per hour．（hours）1.5 hrs．×（labor cost per hour） 5.00= （cost of labor） ＄7.50
   3．Work out the production costs by adding the material costs and the labor costs．
（material）         + （labor）          = （production costs）         
   4．Now you know what it will cost to make this item．How much do you want to charge for the item？Think about how much profit you want to make．Look back at the notes of your survey．How much will students spend for your product？Put together what you find out．What will you charge？
（production costs）             + （profit）            = （product price）            
   Now it's time to show what you know．Good luck!
（1）How many steps are there before you set up a company？

Three．

Three．

（2）What is your second job in the step of doing research？

To price the product．

To price the product．

（3）Must each product be simple enough to make easily？

Yes．

Yes．

（4）How do we work out the production costs？

By adding the material costs and the labor costs．

By adding the material costs and the labor costs．

（5）What is the passage mainly about？

The steps before setting up a company．

The steps before setting up a company．