Spreadsheet Assignment #2

MAKE SURE CASH BUDGET IS DONE BY EACH QUARTER!

Assignment:

1. Complete 3 years of the following statements needed for a business plan:
2. Quarterly Cash Budgets
3. Year-End Income Statements
4. Year-End Balance Sheets

Sales Forecast	Year 1	Year 2	Year 3
1st Quarter	$45,000	$110,000	$155,000
2nd Quarter	$60,000	$120,000	$180,000
3rd Quarter	$90,000	$130,000	$200,000
4th Quarter	$105,000	$140,000	$215,000
Yearly Totals	$300,000	$500,000	$750,000

Variable Expenses:

1. Cost of Goods Sold = 65% of sales.
2. Salaries and Wages= $36,000 in Yr. 1 and $49,520 in Years 2 and 3. Expense evenly throughout the year.
3. Employee Related Expenses = 20% of Wages and Salaries.
4. Bank Charges = 5% on one third of their sales (i.e. 1/3 of their customers purchase goods with a credit card).

Fixed Per Month Expenses:

Rent	$1,000.00
Phone	250.00
Utilities	266.67
Insurance	333.33
Advertising	375.00
Office Supplies	20.00
Repairs & Maint.	50.00
Professional Services	40.00

Other Assumptions:

1. Depreciate all assets straight-line over 5 years.
2. Accounts Receivable: