Financial Plan - Assignment Example

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Financial Plan

Depreciation of truck is at 10% straight line method 2.50 vending machines were purchased 3. The selling price and the purchase prices do not change over the five years 4. On the third year we replaced 10 vending machines that were vandalized 5. The purchase price for meals, snacks and drinks are 4$, 0.75$ and 0.75$ respectively 6. The selling price for meals, snacks and drinks are 5$, 1$ and 1$ respectively 7. After every 6 months we increased purchases by half of the previous period up to the third year. For the fourth year and fifth year, the purchases were 400 units, 2000 units and 2000 units per month for meals, snacks and drinks respectively. 8. On the beginning of the fourth year were acquired a new truck for delivery. It is to be depreciated at 10% straight line method. A detailed description on how to plan the startup requirements I conducted an analysis of the places to start the business. This are places where people require fast foods and drinks. ...Show more


Financial plan Name Institution Five year financial statement Year: 1 2 3 4 5 “000” “000” “000” “000” “000” Sales: meals 725 1637.5 3696.875 1150 1175 Snacks 740 1667.5 3766.875 1180 1190 Drinks 740 1667.5 3766.875 1180 1190 2205 4972.5 11230.625 3510 3555 Opening stock: meals 25 50 75 50 Snacks 10 20 30 20 Drinks 10 20 30 20 Add cost of goods sold Purchases: meals 600 1350 3037.5 960 960 Snacks 562.5 1265.625 2847.656 900 900 Drinks 562.5 1265.625 2847.656 900 900 Discount received 100 200 300 200 200 Less Closing stock: meals 25 50 75 50 25 Snacks 10 20 30 20 10 Drinks 10 20 30 20 10 Cost of sales 1780 4036.25 8987.812 3005 3005 Profits 425 936.25 2242.813 505 550 Less E…
Author : hroob
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