COOKING SCHOOL FOR CHILDREN

Cooking School for Children

Cooking School for Children

Business Model

There are definite steps to take in account when opening the cooking school for children. The first thing to take in account is considering the start-up costs. Opening the cooking school implicates lots of costs. It is prudent to compute the costs of opening the cooking school for children. That will help ABC cooking school for children ascertain how much start-up cash the business will need.

Income Statement

Year 1

Year 2

Year 3

Year 4

Year 5

Sales through fees of services

60000

70000

80000

90000

100000

Cost of Goods Sold

2250

2500

2750

2900

3100

Gross Profit

57750

67500

77250

87100

96900

Licenses

5000

5000

5000

5000

5000

Maintenance

12000

14000

18000

20000

22000

Salaries

30000

30000

30000

30000

30000

Selling Expense

5000

5000

5000

5000

5000

Office Expense

5200

5200

5200

5200

5200

Other

1000

1000

1000

1000

1000

Total SG & A Expense

58200

60200

64200

66200

68200

Net Income

-450

7300

13050

20900

28700

Balance sheet

Year 1

Year 2

Year 3

Year 4

Year 5

Cash

35000

35000

35000

35000

35000

Accounts Receivable

20000

22000

25000

27000

29000

Total Current Assets

55000

57000

60000

62000

64000

Fixed Assets

200000

210000

220000

230000

240000

Total Assets

255000

267000

280000

292000

304000

Accounts Payable

-494550

-490300

-483050

-478900

-474700

Total Current Liabilities

2500

2500

2500

2500

2500

Total Liabilities

-494550

-490300

-483050

-478900

-474700

Retained Earnings

-450

7300

13050

20900

28700

Other Equity

750000

750000

750000

750000

750000

Total Liabilities and Equity

255000

267000

280000

292000

304000

Sensitivity and Risk Analysis

ABC Cooking School for Children may face risk due to various factors. These factors may include the factors of production that is land, labor and capital. These factors of production determine the actual value of money as the growth or the success of business depends on it. Risk and sensitivity analysis, determine the viability of a project based. In the formulation of projects is common to find that the expected financial results are dependent on the values ??assigned to variables in the commodity markets and products, efficiency of processes and other variables of various kinds. The income statement shows the income and expenses of a company over during an accounting period. It represents the type, amount and source of that income and expense components. Result of the income statement is the net income or net loss. It is one of the key success indicators for the evaluation of companies and their management.

In the income statement of the company's revenues and expenses of the last accounting period are presented. As an accounting period is usually the last calendar year, but ...