Question

This is for an event planner Please make up a financial statement. This is the entire assignment I do not have any other information

Create a financial statement for your hypothetical new business venture. Using the attached Excel template (the pictures below), and based on surveying a specific market place, make a best-guess estimated statement exhibiting profit and loss. In business, accuracy counts, so make sure to check and recheck your numbers before submitting your financial statements. Your grade will be based on the completeness and accuracy of the Income Statement.

Answer 1

Please note numbers are hypothetical for a business

Gross profit ratio is maintained at 45% and Net profit ratio is 12%

Income Statement Revenue : Gross Sales Less: Sales Returns and Allowances Net Sales $152,500 $3,200 $149,300 Cost of Goods Sold: Beginning inventory Add: Purchases Direct Labor Indirect expenses $8,000 $55,700 $25,000 $2,600 $91,300 $9,200 Less: Ending inventory Cost of Goods Sold Gross profit (Loss) $82,100 $67,200 Expenses: Advertising Bank Charges Commission Contract Labor Credit card fees Delivery expenses Dues and Subscription Insurance Interest Maintenance Miscellaneous Office Expenses Payroll Permits and License Postage Professional fees Property Taxes Rent Telephone Travel Utilities Total Expenses Net Operating Income $6,500 $2,200 $285 $6,600 $120 $345 $480 $2,400 $190 $720 $950 $1,180 $8,000 $225 $40 $4,000 $550 $4,800 $900 $3,200 $7,200 $50,885 $16,315 Other Income: Gain (Loss) on sale of Asset Interest Income Total Other Income $1,200 $660 $1,860 Net Income (Loss) $18,175