It was required to check the percentage sales of Micro Computer Corporation the financial data show that in 2004 the net sales of the Micro computer Corporation were $ 11,062; and the net Income was calculated as $ 424, which was the 3.89% of the total net sales. In 2005, the net Sales were increased and reached $ 11933, and after deducting operating and other expenses the net loss was calculated, due to extra expenses of the Micro computer corporation, the net loss was 8.33 of the total sales. In 2006, the sales were declined in order to cover the loss of the previous year, again this year the net Loss was calculated as the amount of $ 1245. After surviving in the worst circumstances, in 2007, the company showed satisfactory progression, and earned the Net Income worth $ 811, which was the 9.7312% of the total sales i.e. $ 8334. In this year, the anticipated target of 10% of sales was achieved. In 2009, the sales are expected to grow by 20%, therefore, the anticipated result of the net income shows that it will be the 18.9% of the total sales. (For calculation see appendices 1.2)
Target Revenue Figure
The targeted figure for the year was $10,000.80, and the results show that after deducting all the expenses, the net Income is expected to come is 1,891 which will be the 18% of the total net sales. The tax rate was 15%, which is similar to the past year; the factor of 2% construction cost was also incorporated in calculating Net income for year 2009.
Projection of Sales Micro Computer Corporation
An unanticipated major repair, a long-standing grant that is not renewed these events can alter expense and revenue in ways that can compromise the ability of a nonprofit organization to fulfill its charitable purpose. A budget gives a projection of revenue and expense over the course of a year. It is a plan that communicates an organization's priorities and a tool that can be used to monitor revenue and expense. A budget is usually prepared by an executive director and approved by a board of directors. Operating budgets, program budgets, cash flow budgets, and capital budgets are frequently used by nonprofit.
For the Calculation of Projection of Sales Micro Computer Corporation for the year 2009 see Appendices 1.3
Income Statement for the Year Ended 2009
The activities of income statement present the financial operating, results of the organization over a given, period of time, usually a month, quarter, or year. This statement shows whether the organization had a net gain (surplus) or net loss (deficit). The statement of activities answers questions such as how did we do? What were our revenues? What were our expenses?
The Income Statement is broadly divided into two sections which include revenues, and expenses. Revenues can be generated from providing services or goods to customers. In addition, revenues can come from donations and ...