Entep

• FINANCIAL PLAN


  Where the money comes from and where it goes
• This section of the business plan is the key area
• INCOME STATEMENT


  One of the major financial reports, also known as profit and loss statement, summarizes the results of company's operations
• If the result is positive


  The business earns net income, otherwise net loss
• Major Parts of Income Statement

  • Income or revenues (all income received)
  • Expenses (money spent)
  • Net income / net loss
• Profitability


  The overall goal of the business
• Income Statement


  A financial report that reveals the total revenue or income, total expenses
• Net Income/loss


  Service Income - total expenses
• Revenue


  Produce goods or render services, recognized when earned
• Types of Income


  • Sales (merchandising or retail)
  • Service Income (record revenues earned)
• Break-even Analysis


  Solving managerial problems
• Break-even Analysis


  Total Revenue (TR) = Fixed Cost (FC) + Variable Cost (VC)
• Forecast / Forecasting


  Aims to support management or business owner, depend on data from past and present
• Mark-up


  The amount added to the cost
• 50% · 10 · 230 = 0.90 added into the total cost
• Calculating mark-up


  Cost per unit (A) x 0.50 = $45.00 (B)
• Selling Price


  Cost per unit (A) + Mark-up (B) = $135.00 (C)
• Projected Volume (Daily)


  10 units
• Calculating Projected Revenue (Daily)

  Selling Price (C) x Projected Volume (D) = $1,350.00 (E)
• Projected Volume (Monthly)


  Projected Volume (D) x 30 days = 300 units (F)
• Calculating Projected Revenue (Monthly)

  Selling Price (C) x Projected Volume (F) = $40,500.00 (G)
• Projected Volume (Yearly)


  Projected Volume (D) x 365 days = 3,650 units (H)
• Calculating Projected Revenue (Yearly)

  Selling Price (C) x Projected Volume (H) = $492,750.00 (I)