1. Create a Google sheet with these formulas in Column B for Year 1 2. For year 1, your profit goal is $0. 3a. For row 9, calculate total Salaries of team members assuming full-time and 80% of your majors starting salary. 3b. For row 8, use the Marketing estimate as a % of revenues from the prior class. 3c. For row 7 on COGS, assume $0 for apps or software, else assume 30% of revenues. 3d. For row 6 on R&D, assume $50,000. 4a. For row 5, sum the expenses. 4b. For row 3, set the revenues equal to 4a to break-even in year 1. You do not need to achieve absolutely $0 profit. It's fine to be within 1% of $0 profit.0

Sample Income Statement File Edit View Insert Format Data Tools Extensions Help 100% - View only - A1 fi B 1 Formulas In Column B Year 1 0 = B3 + B4 2 3 4 0 5 = 6 = 7 Revenues Product 1 Product 2 Expenses R&D Cost of Goods Sold Marketing Salaries 10 Profit (Pre-tax) Tax (20%) 12 Profit (After tax) Net Profit Margin 8 9 0 = B6 + B7 + B8 + B9 Est. Cost to Create Your Product = $50,000 $0 for apps or software, else assume 30% of revenues ( = 0.30 * B2) 0 = 0.12 * B2 (Be sure replace 0.12 with your chosen percentage of sales). = 0.80 * Team's Salary 0 = B2 - B5 0 = 0.20 * B10 0 = B10 - B11 #DIV/0! = B12 / B2 11 13 Sample Income Statement File Edit View Insert Format Data Tools Extensions Help 100% - View only - A1 fi B 1 Formulas In Column B Year 1 0 = B3 + B4 2 3 4 0 5 = 6 = 7 Revenues Product 1 Product 2 Expenses R&D Cost of Goods Sold Marketing Salaries 10 Profit (Pre-tax) Tax (20%) 12 Profit (After tax) Net Profit Margin 8 9 0 = B6 + B7 + B8 + B9 Est. Cost to Create Your Product = $50,000 $0 for apps or software, else assume 30% of revenues ( = 0.30 * B2) 0 = 0.12 * B2 (Be sure replace 0.12 with your chosen percentage of sales). = 0.80 * Team's Salary 0 = B2 - B5 0 = 0.20 * B10 0 = B10 - B11 #DIV/0! = B12 / B2 11 13