this is for a new small take-out restaurant business. The startup capital is $15
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this is for a new small take-out restaurant business. The startup capital is $15,000 which is from a small business loan. The terms of the loan are 3 years, payments are $443 per month at a rate of 4.0%. Dinners are $10, the business is open 6 days a week, selling 20 dinners a day. The assets are: Stove $500, Refrigerator $500, computer $400
A. Create a projected balance sheet for your business for the first four quarters and the second and third vears of operation. B. Create a pie chart showing your current assets, long-term assets, current liabilities, and long-term liabilities. Income Statement Projection.s A. Create a projected income statement for your business for the first four quarters and the second and third years of operation. B. Create a bar chart showing your gross revenues, gross profit, and net incomeExplanation / Answer
A. INCOME STATEMENT
Income
Taking 52 weeks a year i.e 52/4 13 Weeks per quarter
= $ 10 X 13 Weeks X 6 days X 20 dinners a day
= $ 15,600 per quarter
= $ 15,600 X 4
= $ 62,400 per Year
Interest Payments
Total Payments ( Principal Plus Interest ) = $ 443 X 3
= $ 1,329 per quarter
= $ 1,329 X 4
= $ 5,316 Per Year
Principal = $ 15,000 / 36 months
= $ 416.67 Per month
= $ 416.67 X 3
= $ 1,250 per quarter
= $ 1,250 X 4
= $ 5, 000 Per Year
Interest = Total Payment - Interest
= $ 1,329-1,250
= $ 79 per quarter
= $ 79 X 4
= $ 316 Per Year
INCOME STATEMENT
PERIOD Q1 Q2 Q3 Q4 2ND 3RD
Income $ 15,600 $ 15,600 $ 15,600 $ 15,600 $ 62,400 $ 62,400
(-) Interest Payments $79 $79 $79 $79 $ 316 $ 316
Net Income $ 15,521 $ 15,521 $ 15,521 $ 15,521 $ 62,084 $ 62,084
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