Good6 Financial Steps
Good6 Financial Steps
Good6 Financial Steps
Spreadsheet-Based Financial
Schedules for Building
a Dream
his supplement is a spreadsheet-based tool to help you analyze the financial aspects of your
new business idea. It will facilitate preparation of the financial statements contained in
Stage Seven to assess the feasibility of your idea or those in Stage Eleven that you will require
for your comprehensive business plan.
The schedules contained in the spreadsheet model are based on the comparable figures in
the book. However, they have been incorporated into a computer framework to simplify their
completion for you. You do not have to be an accountant or understand much financial accounting to use these schedules. In fact, just the opposite is true. The principal idea behind the
development of the model is to enable you to fill in some of the simple financial information
and prepare a professional-looking set of statements to incorporate into your feasibility study or
business plan.
4. It will take a few seconds for the file to open, but you will notice at the bottom of the
screen the words opening Main.xls and the blue squares moving to the right indicating
how much longer it will take the file to open.
5. When the file is open, the main screen of the model will appear, with a list of all of the
schedules available to you.
It is probably best if you familiarize yourself with how this program operates before you begin
filling in any information on the various schedules. At the bottom of the screen you will notice
various tables with different file names, such as Main Menu and Cash Required for Start-Up.
By clicking on any of these file names you can switch to that schedule and enter the necessary
information. To view more of the files observe the arrows to the left of the file names. By
clicking on these arrows you can scroll through the names of the various schedules (right or left
depending on which arrow you press) and easily access any schedule you require.
At any time it is possible to print any of the schedules individually or all of the schedules at
once. Microsoft Excel utilizes the print to fit capability, which makes for an appealing
presentation. To print any one schedule, first, go to that schedule. Second, press the icon
which looks like a printer OR go to the File menu and choose Print. You will be presented
with a dialog box asking if you wish to print the current sheet (which is one schedule) or
the entire Workbook (which is all of the schedules and the main menu). Pick the circle of
your choice by clicking on it, then click on OK.
If you are preparing the financial information for a complete business plan it is suggested
that you start with Schedule 1. You should always complete one schedule before proceeding to
the next, as some of the information needed in later schedules must be transferred from a
previous one.
When preparing your business plan you may want to use a number of different
forecasts, such as an optimistic, most likely, and pessimistic forecast. To do this, after
entering any data and leaving the model, save the file under a different name. It is good
practice to save the file under a different name anyway even if you only plan on creating
one business plan, so that you always have one clear set of templates to come back to if
you have made any mistakes.
In this way you can make several different business plans and observe how differences in
forecasts can affect the performance outcome of your business. If you forget to save the model
before you exit the file you will receive a prompt upon exiting asking Save Changes to
Main.xls?. Click on Cancel, and go back and follow steps 1 through 4. When you have saved
your model under a different name, and want to use it again, instead of opening Main.xls open
the new file name, Main2.xls. To exit the model, simply go to the File menu and choose the
Close option.
There are blue zeros on the schedules indicating where to input data. Some cells containing zeros will automatically be calculated for you, or carried over from other schedules. For the
spreadsheet to calculate the appropriate information for you correctly, it is important to enter
data only in those cells which contain zeros. Some cells have been protected to prevent you
from accidentally inputting data in an inappropriate location. If you receive a prompt from
Excel saying Cannot override protected cell, simply click on OK.
Section 1
The cash outflows in section one are monthly expenses that will occur naturally as a
result of operating your business. Over the first few months of operation the inflow of
cash into your business will likely be insufficient to cover these expenses. Therefore, it
will be necessary to ensure that you have enough funds on hand to cover these expenses
over the first few months of operations. Some of these expenses will be the same from
month to month and are known as fixed expenses. Fixed expenses do not vary with the
level of sales or production of your business. Other expenses are variable, and may
Schedule 1
Column 2
Item
Column 3
Cash Required To Start
Business (Column 1 X
Column 2)*
Salary of Owner-Manager
All Other Salaries and Wages
Rent
Advertising
Delivery Expense/Transportation
Supplies
Telephone, Fax, Internet Service
Other Utilities
Insurance
Taxes Including Employment Insurance
Interest
Maintenance
Legal and Other Professional Fees
Miscellaneous - Travel
change from month to month depending on your projection of sales or production. Other
expenses may actually be annual expenses, such as insurance, and will have to be divided by
12 before being entered into the sheet.
You should indicate your estimate of each monthly expense and enter it in column 1 of
this schedule. For items such as owners salary be sure to calculate a personal expense
budget on the basis of the absolute minimum amount you will require to get by as the
business will likely not be in a position to provide much cash to cover your own personal
expenses. In estimating expenses it is always better to over-estimate and be pleasantly surprised at year-end than to underestimate and run the possibility of not having enough funds
to continue operating your business. You may want to look at a few scenarios (pessimistic,
most-likely, optimistic) to see how sensitive your need for start-up funds is to changes in the
assumptions you have used to calculate your expenses.
In column 2 you can enter the number of months of cash you believe you will require to
cover these monthly expenses. You should consider how soon cash will flow into your business
(cash flows are developed further in schedule 4) and the type of payment arrangements you
can negotiate. The schedule will multiply column 1 by column 2 for you to calculate the total
funds you will require to cover initial monthly expenses.
Section 2
The second section of this schedule calculates the one-time cash requirements you will need to
begin operations. These may be down payments that are required on furniture or fixtures or
investments in accounts-receivables that will be necessary until collections from sales begin to
flow in. Keep in mind that all categories may not apply to your specific business.
The sum of the requirements from section 1 and section 2 will give you a good approximation of the total funds that you will require to start up your business. These funds may be in the
form of your own invested capital, long-term debt financing such as a bank loan, or short-term
debt financing such as a line of credit. Some combination of the above financial instruments
will likely be the most appropriate; the exact mixture again depends upon the specific requirements of your business.
Purchases can be a difficult figure for you to estimate. You should enter what you feel is
an appropriate and reasonable amount. One method you can use is to purchase enough
stock so that you can cover one-half or more of your next months expected sales. An
alternative method that can be employed is to schedule purchases to replace the stock you
have sold. That is, if your sales equal 100%, and the expected Cost of Goods Sold in your
retail business is 60%, then purchases equivalent to 60% of your sales would be required to
maintain your inventory at a constant level. This method is simple and also allows you to
readily determine the value of your Ending Inventory; it must always be the same as your
starting inventory. This method, however, does not take into account expected seasonal
sales fluctuations. Your estimated purchases are based on previous sales, not what you
expect to sell in subsequent months. This may leave you short of inventory if sales are
projected to increase dramatically.
Total is the total of your Beginning Inventory plus Purchases. This calculation is performed
for you.
Ending Inventory: However you determine your expected purchases, you will need to
know what is left in ending inventory.
Cost of Goods Sold is simply the difference between the total available stock less your
ending inventory. This calculation is performed for you automatically.
Gross Profit Margin: Again this calculation is performed automatically for you.
Monthly Expenses fall largely into two broad categories, Fixed and Variable. It is
suggested that you first fill in the initial month of the fixed expenses such as rent, telephone,
and insurance. These expenses will automatically be transferred to the following months;
however, you can change the expenses in the following months if you wish to do so.
Owners Salary is an estimate of the monthly salary you feel you need to withdraw from the
business in order to live.
Employees Wages and Salaries vary, based in part on sales. In determining your expected
employee costs, keep in mind minimum wage laws, holiday pay requirements, and deductions
such as CPP and Employment Insurance, to which the employer must also contribute.
Delivery Expense is an expense that is dependent on your volume of purchases, and the number
of times you order from your suppliers. If you order once a month, the delivery charge will
likely remain reasonably constant from month to month. However, if you order more than once
a month, or from different suppliers at different times, this will be constantly changing and
needs to be projected.
Bad Debt Allowance will depend on your volume of credit sales and how liberal you are with
your credit policies. The larger your credit sales, typically, the higher the required allowance
for bad debts.
Legal and Accounting Fees are usually incurred at the beginning or the end of the year. These
expenses must be entered at the appropriate time of the year. Taxes and Licences are also a
once-a-year expense which must be accounted for at the appropriate time.
Telephone: You can usually expect your telephone expense to be fairly constant from month to
month. However, there is one thing worth mentioning. Most utilities require an initial deposit.
After some period this deposit is refunded to you, not all at once but as a reduction in your bill
until the deposit is used up.
0
0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
5
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
6
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
7
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
8
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
9
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
10
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
11
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
12
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
TOTAL
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
0
0
$0
Month
4
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
0
0
$0
Month
3
$0
$0
0
0
$0
Month
2
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
D. TOTAL VARIABLE
EXPENSES
$0
$0
0
0
0
0
$0
Month
1
C. GROSS MARGIN
A. NET SALES
1. Gross Sales
2. Less: Cash Discounts
SCHEDULE 2
0
0
$0
0
0
0
0
0
0
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
6
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
7
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
8
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
9
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
10
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
11
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
12
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
TOTAL
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
5
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
4
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
3
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
$0
0
0
$0
Month
2
$0
D. TOTAL VARIABLE
EXPENSES
0
0
0
0
0
0
0
0
0
0
0
$0
C. GROSS MARGIN
$0
0
0
0
0
$0
Month
1
A. NET SALES
1. Gross Sales
2. Less: Cash Discounts
SCHEDULE 2
OPTIMISTIC
0
0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
5
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
6
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
7
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
8
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
9
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
10
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
11
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
Month
12
0
0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
TOTAL
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
0
0
$0
Month
4
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
0
0
$0
Month
3
$0
$0
0
0
$0
Month
2
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
D. TOTAL VARIABLE
EXPENSES
$0
$0
0
0
0
0
$0
Month
1
C. GROSS MARGIN
A. NET SALES
1. Gross Sales
2. Less: Cash Discounts
SCHEDULE 2
PESSIMISTIC
$0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
D. TOTAL VARIABLE
EXPENSES
$0
C. GROSS MARGIN
0
0
0
0
$0
0
0
$0
End of
Year 1
End of
Year 2
$0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
0
0
End of
Year 3
$0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
0
0
3.
4.
5.
6.
A. NET SALES
1. Gross Sales
2. Less: Cash Discounts
SCHEDULE 3
End of
Year 4
$0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
0
0
End of
Year 5
$0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
0
0
0
0
$0
0
0
Depreciation is the notion of expending an asset over time. The equipment to be depreciated
should have been reflected on Schedule 1. Depreciation is not an allowed expense under
Canada Customs and Revenue Agency regulations. It commonly must be added back to Net
Income and the Capital Cost Allowance (CCA) taken. To save time and simplify the calculations
we suggest that CCA be taken in lieu of Depreciation right from the start. For this purpose
examples of the CCA allowance for different types of common assets are included at the back of
this guide.
Total Fixed Expenses are totalled for you.
Total Operating Expenses is the sum of Total Variable Expenses and Total Fixed
Expenses.
Net Operating Profit (Loss) will be the difference between your Gross Profit Margin and
Total Operating Expenses.
Income Taxes have been automatically calculated at 22% of Net Income. This is the general
tax rate which applies to most small businesses in Canada. The formula also takes into
account whether your expected Net Income is positive or negative. What the formula does
not consider is that losses can be carried forward for a number of years and deducted from
your future income. If this is the case, remember to deduct prior losses from future years
profits before determining Income Tax. If your Net Income is over $200,000 for one fiscal
year the corporate tax rate is calculated at 48%.
The totals for year 1 financial projections should be carried over to Schedule 3, which is the
Income statement for the first 5 years of operation of your business. You will need to go through
these same steps for the subsequent years 2 through 5.
Payment Pattern
% Cash Sales
% Cash Payment
% Within 30 Days
% Within 30 days
% 30-60 Days
% 30-60 Days
Cash received should be entered on the Schedule as a (+) number. Cash disbursments should be entered
as a () number.
0
0
0
0
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
2
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
3
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
4
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
5
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
6
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
7
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
8
* Cash received should be entered on the Schedule as a (+) number. Cash disbursements should be entered as a (-) number
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
1
Financing
Payment of Principal of Loan
Inflow of Cash From Bank Loan
Issuance of Equity Positions
Repurchase of Outstanding Equity
Capital
SCHEDULE 4
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
9
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
10
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
11
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
Month
12
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
YEAR 1
TOTAL
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
YEAR 2
TOTAL
0
0
0
0
ACCEPTABLE
$0
$0
$0
$0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
$0
YEAR 3
TOTAL
Current Assets:
Cash
Accounts Receivable
Inventory
Other Current Assets
LIABILITIES
BALANCED
0
0
0
$0
$0
SHARE CAPITAL
Common Shares
Preferred Shares
RETAINED EARNINGS
G. TOTAL NET WORTH
$0
$0
0
0
0
0
0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
BALANCED
End of Year 1
0
0
F. TOTAL LIABILITIES
Long-term Liabilities
13. Notes Payable
(due after one year)
14. Other Long-term Liabilities
Current Liabilities
(due within 12 months)
10. Accounts Payable
11. Bank Loans / Other Loans
12. Taxes Owed
$0
$0
$0
0
0
0
0
Opening
Fixed Assets:
Land and Buildings
less depreciation
Furniture and Fixtures
less depreciation
Equipment
less depreciation
Trucks and Automobiles
less depreciation
Other Fixed Assets
less depreciation
ASSETS
C. TOTAL ASSETS
9.
8.
7.
6.
5.
1.
2.
3.
4.
SCHEDULE 5
$0
0
0
0
$0
$0
$0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
BALANCED
End of Year 2
$0
0
0
0
0
$0
$0
$0
$0
$0
$0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
BALANCED
End of Year 3
$0
0
0
0
0
$0
$0
$0
$0
$0
$0
1. Gross Margin/Sales
2. Current Ratio
3. Quick Ratio
4. Net Profit/Sales
6. Sales/Net worth
SCHEDULE 6
Total Liabilities
Net Worth
Current Liabilities
Net Worth
Fixed Assets
Net Worth
Net Sales
Net Worth
Net Profit
Net worth
Current Assets
Current Liabilities
Gross Profit
Net Sales
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
End of
Year 1
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
End of
Year 2
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
End of
Year 3
SCHEDULE 7
Operating Expenses
Owner's Salary
Employee's Wages
Supplies and Postage
Advert. and Promotion
Delivery Expense
Bad Debt Allowance
Travel
Professional Fees
Vehicle Expense
Maintenance Expense
Other Variable Expenses
Rent
Utilities
Telephone
Taxes & Licenses
Depreciation
Interest
Insurance
Other Fixed Expenses
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
$0
CONTRIBUTION MARGIN =
Gross Margin
Net Sales
#DIV/0!
SCHEDULE 8
Return on Investment
$0
[from Schedule 5]
$0
Net Worth
R.O.I. =
#DIV/0!
Item
Rate
Class
Aircraft
25%
Automobiles
30%
10
4%
10%
30%
10
100%
12
Normal
30%
10
Heavy
30%
38
20%
20%
Furniture
20%
25%
39
8%
17
Photocopy machines
20%
Telephone system
20%
100%
12
20%
Buildings:
Brick, stone, cement, etc.
Frame, log, stucco on frame, galvanized, or corrugated iron
Computer hardware and systems software
Computer software
Contractors movable equipment:
Parking area