You are on page 1of 16

MKH Vinegar Manufacturing Enterprise

Sales Forecast
For Five Years of Operation

Expected Sales in units


Selling price
Total Sales
Schedule of Expected Cash Collections
Year 1 Sales:
940,320.00
Year 2 Sales:
1,161,360.00
Year 3 Sales:
1,434,320.00
Year 4 Sales
1,771,360.00
Year 5 Sales
2,187,600.00
Total cash collection
Allowance for uncollectible accounts
Accounts Receivable

Year 1 (2013)
11,754.00
x 80.00
940,320.00

Year 2 (2014)
14,517.00
x 80.00
1,161,360.00

846,288.00

75,225.60
1,045,224.00

Year 3 (2015)
17,929.00
x 80.00
1,434,320.00

1,120,449.60
23,227.20
116,136.00

Year 5 (2017)
27,345.00
x 80.00
2,187,600.00

92,908.80
1,290,888.00

846,288.00
18,806.40
94,032.00

Year 4 (2016)
22,142.00
x 80.00
1,771,360.00

1,383,796.80
28,686.40
143,432.00

114,745.60
1,594,224.00

141,708.80

1,708,969.60
35,427.20
177,136.00

1,968,840.00
2,110,548.80
43,752.00
218,760.00

MKH Vinegar Manufacturing Enterprise


Production Budget
For Five Years of Operation

Planned Sales in units


Add: Ending Inventory
Total needs
Less: Beginning Inventory
Units to be produced
Purchased Cost
Total Purchases
Payment to supplier
Accounts Payable

11,754.00
1,452.00
13,206.00
13,206.00
x 47.50
627,285.00
533,192.25
94,092.75

14,517.00
1,793.00
16,310.00
1,452.00
14,858.00
x 47.50
705,755.00
693,984.50
105,863.25

17,929.00
2,214.00
20,143.00
1,793.00
18,350.00
x 47.50
871,625.00
846,744.50
130,743.75

22,142.00
2,735.00
24,877.00
2,214.00
22,663.00
x 47.50
1,076,492.50
1,045,762.38
161,473.88

27,345.00
1,700.00
29,045.00
2,735.00
26,310.00
x 47.50
1,249,725.00
1,223,740.13
187,458.75

MKH Vinegar Manufacturing Enterprise


Forecasted Income Statement
for Five Years of Operations

Year 1 (2013)
Revenue
Sales
Less: Cost of Good Sold
Inventory-Beg.
Plus: Purchases
Goods available for sale
Less:Inventory-End
Gross Profit
Less: Operating expenses
Advertisement
Gas and Lubricants
Utilities Expense
Supplies expense
Repairs and maintenance
Salaries expense
Employee's benefits
Depreciation expense
Bad debts expense
Earnings before income tax
Less: Income tax
Net Income After Tax

Year 2 (2014)

940,320.00
627,285.00
627,285.00
68,970.00

35,262.00
23,508.00
17,631.00
14,104.80
15,280.20
164,556.00
11,754.00
18,806.40

558,315.00
382,005.00

300,902.40
81,102.60
28,385.91
52,716.69

Year 3 (2015)

1,161,360.00
68,970.00
705,755.00
774,725.00
85,167.50

43,551.00
29,034.00
21,775.50
17,420.40
18,872.10
203,238.00
14,517.00
3,125.00
23,227.20

689,557.50
471,802.50

374,760.20
97,042.30
33,964.81
63,077.50

85,167.50
871,625.00
956,792.50
105,165.00

53,787.00
35,858.00
26,893.50
21,514.80
23,307.70
251,006.00
17,929.00
3,125.00
28,686.40

KH Vinegar Manufacturing Enterprise


Forecasted Income Statement
for Five Years of Operations

Year 3 (2015)

1,434,320.00

956,792.50
477,527.50

462,107.40
120,585.10
42,204.79
78,380.32

Continued
MKH Vinegar Manufacturing Enterprise
Forecasted Income Statement
for Five Years of Operations

Year 4 (2015)

Year 5 (2016)

Revenue
Sales
Less: Cost of Good Sold
Inventory-Beg.
Plus: Purchases
Goods available for sale
Less:Inventory-End
Gross Profit
Operating expenses
Advertisement
Gas and Lubricants
Utilities Expense
Supplies expense
Repairs and maintenance
Salaries expense
Employee's benefits
Depreciation expense
Bad debts expense
Earnings before income tax
Less: Income tax
Net Income After Tax

1,771,360.00
105,165.00
1,076,492.50
1,181,657.50
129,912.50

1,051,745.00
719,615.00

2,187,600.00
129,912.50
1,249,725.00
1,379,637.50
80,750.00

1,298,887.50
888,712.50

Less:

66,426.00
44,284.00
33,213.00
26,570.40
28,784.60
309,988.00
22,142.00
3,125.00
35,427.20

569,960.20
149,654.80
52,379.18
97,275.62

82,035.00
54,690.00
41,017.50
32,814.00
35,548.50
382,830.00
27,345.00
11,125.00
43,752.00

711,157.00
177,555.50
62,144.43
115,411.08

MKH Vinegar Manufacturing Enterprise


Statement of Changes in Owner's Equity
for five years of Operation

Hatori, Capital-Jan.1
Add: Net Income
Additional Investment
Total
Less: Hatori, Withdrawals
Hatori, Capital-Dec.31

Year 1 (2013)
5,000.00
52,716.69
52,716.69
57,716.69
57,716.69

Year 2 (2014)
57,716.69
63,077.50
63,077.50
120,794.19
120,794.19

Hatori, Capital-Jan.1
Add: Net Income
Additional Investment
Total
Less: Salaries expense
Hatori, Capital-Dec.31

Year 4 (2016)
199,174.50
97,275.62
97,275.62
296,450.12
296,450.12

Year 5 (2017)
296,450.12
115,411.08
115,411.08
411,861.20
411,861.20

Year 3 (2015)
120,794.19
78,380.32
78,380.32
199,174.50
199,174.50

MKH Vinegar Manufacturing Enterprise


Statement of Financial Position
for Five Year of Operation

Year 1 (2013)
Current Assets
Cash
Accounts Recievable
Allowance for uncollectible accounts
Non-Current Assets
Furniture and Fixtures
Accumulated depreciation - F&F
Tricycle
Accumulated depreciation - Tricycle
Building
Accumulated depreciation - BLDG.
Land
Inventory
TOTAL ASSETS

Year 2 (2014)

10,999.75
94,032.00
(18,806.40)

25,000.00
-

75,225.60

25,000.00
68,970.00
180,195.35

Year 3(2015)

60,670.94
116,136.00
(23,227.20)

25,000.00
(3,125.00)
-

92,908.80

21,875.00
85,167.50
260,622.24

143,432.00
(28,686.40)

25,000.00
(6,250.00)
-

LIABILITIES AND OWNER'S EQUITY


Liabilities
Accounts Payable
Accrued Income Tax
Owner's Equity
Hatori, Capital-Dec.31
TOTAL LIABILITIES AND OWNER'S EQUITY

94,092.75
28,385.91

122,478.66

57,716.69
180,195.35

105,863.25
33,964.81

139,828.06

120,794.19
260,622.24

130,743.75
42,204.79

H Vinegar Manufacturing Enterprise


Statement of Financial Position
for Five Year of Operation

Year 3(2015)
133,462.44
114,745.60

18,750.00
105,165.00
372,123.04

172,948.54

199,174.50
372,123.04

Continued
MKH Vinegar Manufacturing Enterprise
Statement of Financial Position
for Five Years of Operation

Year 4 (2016)
Current Assets
Cash
Accounts Recievable
Allowance for uncollectible accounts
Non-Current Assets
Furniture and Fixtures
Accumulated depreciation - F&F
Tricycle
Accumulated depreciation - Tricycle
Building
Accumulated depreciation - BLDG.
Land
Inventory
TOTAL ASSETS

Year 5 (2017)

143,056.88
177,136.00
(35,427.20)

30,000.00
25,000.00
(9,375.00)
50,000.00
-

141,708.80

30,000.00
15,625.00
50,000.00
129,912.50
510,303.18

321,206.37
218,760.00
(43,752.00)

30,000.00
(3,000.00)
25,000.00
(12,500.00)
50,000.00
(5,000.00)

92,908.80

27,000.00
12,500.00
45,000.00
80,750.00
661,464.37

LIABILITIES AND OWNER'S EQUITY


Liabilities
Accounts Payable
Accrued Income Tax
Owner's Equity
Hatori, Capital-Dec.31
TOTAL LIABILITIES AND OWNER'S EQUITY

161,473.88
52,379.18

213,853.06

296,450.12
510,303.18

187,458.75
62,144.43

249,603.18

411,861.20
661,464.37

MKH Vinegar Manufacturing Enterprise


Statement of Cash Flow
For Five Years of Operation

Year 1 (2013)
Cash flows from operating activities:
Cash Collection from sales
Cash paid to suppliers and employees
Income tax paid
Net cash provided by operating activities
Cash flows from investing activities:
Capital expenditures:
Tricycle
Building
Furnitures and Fixtures
Land
Cash flows from financing activities:
Net borrowings under line-of-credit
Proceeds from financing institution
Net cash increase in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and Cash equivalents at the end of year

846,288.00
(815,288.25)
-

Year 2 (2014)
1,120,449.60
(1,042,392.50)
(28,385.91)

30,999.75

(25,000.00)
-

Year 3 (2015)

(25,000.00)

1,383,796.80
(1,277,040.50)
(33,964.81)
49,671.19

5,999.75
5,000.00
10,999.75

49,671.19
10,999.75
60,670.94

Year 3 (2015)

72,791.50

72,791.50
60,670.94
133,462.44

Continued
MKH Vinegar Manufacturing Enterprise
Statement of Cash Flow
For Five Years of Operation

Year 4 (2016)
Cash flows from operating activities:
Cash Collection from sales
Cash paid to suppliers and employees
Income tax paid
Net cash provided by operating activities
Cash flows from investing activities:
Capital expenditures:
Utensils
Building
Furnitures and Fixtures
Land
Cash flows from financing activities:
Net borrowings under line-of-credit
Proceeds from financing institution
Net cash increase in cash and cash equivalents
Cash and cash equivalents at beginning of year
Cash and Cash equivalents at the end of year

Year 5 (2017)

1,708,969.60
(1,577,170.38)
(42,204.79)

2,110,548.80
(1,880,020.13)
(52,379.18)
89,594.44

(50,000.00)
(30,000.00)
-

(80,000.00)

178,149.50

9,594.44
133,462.44
143,056.88

178,149.50
143,056.88
321,206.37

Selling and Administrative Budget


Particulars
Gas and Lubricants
Petrolium
Motor oil
Total

16,455.60
7,052.40
23,508.00

20,323.80
8,710.20
29,034.00

Utilities Expense
Water Bill
Electricity
Telephone
Total

10,578.60
7,052.40
17,631.00

Supplies Expense:
Janitorial supplies
Paper, ink, and office supplies
Total
Repairs and Maintenance:
Provision for motor repairs(e.g. tires & etc.)
Provision for production house R&M
Total
Wages:
Bookkeeper Wages (P32.50/hr @ 1,920hrs.)
Administrative Assistant
SSS Contribution
Philhealth Contribution
Withholding Tax
13th Month Pay and fringe benefits
Total
Total Selling and Administrative Budget

2013

2014

2015

2016

2017

25,100.60
10,757.40
35,858.00

30,998.80
13,285.20
44,284.00

38,283.00
16,407.00
54,690.00

13,065.30
8,710.20
21,775.50

12,550.30
5,378.70
8,964.50
26,893.50

15,499.40
6,642.60
11,071.00
33,213.00

19,141.50
8,203.50
13,672.50
41,017.50

8,227.80
5,877.00
14,104.80

10,161.90
7,258.50
17,420.40

12,550.30
8,964.50
21,514.80

15,499.40
11,071.00
26,570.40

19,141.50
13,672.50
32,814.00

11,754.00
3,526.20
15,280.20

14,517.00
4,355.10
18,872.10

17,929.00
5,378.70
23,307.70

22,142.00
6,642.60
28,784.60

27,345.00
8,203.50
35,548.50

62,400.00

62,400.00

2,520.00
1,800.00
2,640.00
5,200.00
74,560.00
145,084.00

2,520.00
1,800.00
2,640.00
5,200.00
74,560.00
161,662.00

62,400.00
31,200.00
2,520.00
1,800.00
2,640.00
10,400.00
110,960.00
218,534.00

62,400.00
62,400.00
2,520.00
1,800.00
2,640.00
10,400.00
142,160.00
275,012.00

62,400.00
62,400.00
2,520.00
1,800.00
2,640.00
10,400.00
142,160.00
306,230.00

Marketing Budget
Particulars
Advertisement:
Leaftlets and fliers
signages and tarpaulin
Freebies and complementary products
Total Marketing Budget

2,013.00

2,014.00

2,015.00

2,016.00

2,017.00

9,403.20
11,754.00
14,104.80
35,262.00

11,613.60
14,517.00
17,420.40
43,551.00

14,343.20
17,929.00
21,514.80
53,787.00

17,713.60
22,142.00
26,570.40
66,426.00

21,876.00
27,345.00
32,814.00
82,035.00

Labor Budget
Wages (P32.50/hr @ 2,920hrs.)
Laborer
Laborer
SSS Contribution
Philhealth Contribution
Withholding Tax
13th Month Pay and fringe benefits
Total

83,036.00
2,520.00
1,800.00
2,640.00
89,996.00

94,900.00
2,520.00
1,800.00
2,640.00
26,818.00
128,678.00

94,900.00
2,520.00
1,800.00
2,640.00
38,186.00
140,046.00

94,900.00
47,450.00
2,520.00
1,800.00
2,640.00
18,518.00
167,828.00

94,900.00
94,900.00
2,520.00
1,800.00
2,640.00
43,910.00
240,670.00

Employee's Benefts:
Provision on Overtime pay
Health and other personnel insurances
Total
Total Labor Budget

9,403.20
2,350.80
11,754.00
101,750.00

11,613.60
2,903.40
14,517.00
143,195.00

14,343.20
3,585.80
17,929.00
157,975.00

17,713.60
4,428.40
22,142.00
189,970.00

21,876.00
5,469.00
27,345.00
268,015.00

Direct Materials Budget


Particulars
Banana Peelings
Brown Sugar
750 ml. Bottle (Emperador Bottle)
Sticker and Packaging
Herbs and Spices
Adhesive, Carton and Direct Promotional expenses
Total goods available for sale ( beg. Invt. & Purchases)
Inventory, Dec. 21 (forwarded to SFP)
Total cost of good sold (forwarded to SCI)

2013
33,015.00
33,015.00
26,412.00
396,180.00
39,618.00
99,045.00
627,285.00
68,970.00
558,315.00

2014
44,405.00
44,405.00
35,524.00
479,070.00
53,286.00
119,767.50
776,457.50
85,167.50
691,290.00

2015
54,840.00
54,840.00
43,872.00
591,660.00
65,808.00
147,915.00
958,935.00
105,165.00
853,770.00

2016
67,727.50
67,727.50
54,182.00
730,680.00
81,273.00
182,670.00
1,184,260.00
129,912.50
1,054,347.50

2017
79,450.00
79,450.00
63,560.00
902,400.00
95,340.00
225,600.00
1,445,800.00
80,750.00
1,365,050.00