Question:

**Need help, please with the supporting Excel Workbook showing calculations there is not missing information...this is all I have, everything else needs to be made up

To achieve the company strategy, will need a loan of $200,000 to cover the purchase amount of 100 homes giving us a total of $120,000. The capital expenditures and start-up cost total the amount of $66,008 during the first year

The amount required of the up-front investment is $200,000; NPV is $308,074 with a payback period of 1.9 years; IRR is 52.7%

The vision of the entrepreneur is to create 5-team landscaping business that caters to upscale neighborhoods in Miami, Florida. The company is to be called "The Cutting Edge".The goal of the entrepreneur is to generate income of at least $42,000 per year as his personal salary, as well as profits of 4% after tax sometime no later than the second year of operation.The entrepreneur intends to buy a route of 100 homes from a lawn service company whose owner is retiring.

Strategy

a) Market Focus/Analysis

The landscaping business targets upscale neighborhoods with home associations that demand lawns to be manicured and well-cared for.Customers tend to be upper middle, to upper-class individuals with household income levels of $110,000 or more.The geographic focus is Miami and its surrounding area. The area is expected to show slow economic growth of about 1% per year over the next five years.

b) Product

The product is lawn maintenance and landscaping services as well as minor irrigation equipment repair.The primary source of income is expected to be in the form of lawn-cutting, debris-blowing, and edge trimming services. However, the company will also do reseeding, landscaping, and foliage/tree planting, tree trimming, and light irrigation system repair when necessary to keep their customer's lawns watered and healthy.

c) Basis of Competition

Customers hire the Cutting Edge due to its reliability in showing up when they are supposed to, quality lawn service, as well as their ability to keep lawn sprinkler systems in good repair, sparing the homeowner of the inconvenience of calling a sprinkler repair for minor repairs such as broken or clogged sprinkler heads, or other minor sprinkler system repairs.

Startup Requirements*

Given Costs

The cost of registering a Limited Liability Company in Florida, filing fees listed at the bottom of the application form located at http://form.sunbiz.org/pdf/cr2e047.pdf

Business Insurance, estimated at $1000 per year

No health benefits except for the owner of the business

Workman's compensation fees

The cost of the initial route of 100 homes, at a cost of $120,000

Costs you should estimate through research, experience or other methods

Team equipment for lawn cutting, which includes equipment for a two-person team:

A pickup truck

A trailer

A large riding lawnmower

A smaller riding lawnmower

A push lawn-mower

Two gas-powered lawn-trimmers

Two gas-powered lawn edgers

Safety equipment for eyes and ear protection

Tools for minor equipment repair on the job

A drink cooler

2 gas powered blowers

2 tree/hedge trimmers

2 long ladder

Buck Saws for cutting branches

The cost of 10 workers, two per team

All operating costs such as advertising, phone, as well a small 400 square foot office complete with utilities, internet a laptop computer and accounting software like QuickBooks, as well as office supplies, as well as annual depreciation on equipment.

*if you have questions about startup requirements, or think other startup costs are necessary for the business are missing, then make an assumption and state it in the relevant section of the report. This list is not necessarily complete.

Given Financial Assumptions*

The owner will be granted a loan for the initial startup, repayable over 10 years at current interest rates for small business loans

The owner will use personal funds to operate the business until it generates enough cash flow to fund itself.

Essentially, 60% sales are made by credit card and 40% are made by check. All credit card sales are a paid to the restaurant daily by the credit card company.

2.5% of sales is paid to a credit card company in fees

The average lawn service costs $150 per month. Irrigation repairs are minimal at an average of $50 per customer per year, landscaping and other services are about $200 per customer per year.

Equipment is depreciated on a straight-line basis over 5 years

The owner has health benefits, other workers do not.

Each lawn takes about 1.5 hours to cut and manicure, as well as any other repairs or extra services like tree or shrub trimming.

The entrepreneur will manage the company and draw a salary, but will not service lawns or perform other services.

*If you believe any other assumptions are necessary, then please state them in your budget proposal

Question 17 Not yet answered Marked out of 1.00 Flag question An amount of RO 365 is wrongly recorded as RO 356 in the journal. What is the type of error in this transaction? a. Compensating error b. Error of principle c. Error of commission d. Error of omission Clear my choiceWhich one of the following statements best explains the most important difference between the balance sheet and the profit and loss statement? O The income statement presents the economic and operational results of financial performance of firms by considering revenues and expenses over a specific operating period. The balance sheet reflects the financial condition with its sections on a particular date or specific point in time. The balance sheet is prepared on cumulative basis (over a period of time, such as year) but the income statement is not prepared on cumulative basis. The balance sheet shows the net profit or loss incurred over a specific operating period. The profit and loss statement shows the liquidity and solvency position of a particular company. O The balance sheet proves and reflects the fundamental accounting equation but the income statement does not because it is cumulative.The accountant for Orange Line Company is almost nished preparing the work sheet for the year ended August 31, 2017. The totals of the accounts in the income statement and balance sheet columns are presented below. Calculate the prot or loss, write this in the proper columns, and calculate the nal totals for these columns. Clearly indicate whether the company had a prot or loss. Income Statement Balance Sheet Dr. Cr. Dr. Cr. Totals 53,875 43,425 55,550 66,000 Prot or loss Totals