CHAPTER XIII – The Financial Forecasts & Expected Returns, Risks &

Contingencies

Save that coin Income Statement for one month

Revenues

Merchandise ₱12,500

Expenses

Materials ₱10,000

Bills ₱500

Interest Paid ₱0

Revenues – Expenses = Net Profit

₱12,500 – ₱10,500 = ₱2,000

ROS = Net Profit = ₱2,000 = 0.20%
Sales 100

Expected return on sale = 0.20%

Balance Sheet

Assets Liabilities & Assets

Scissor – ₱20 Liabilities – N/A

Hammer – ₱200 Capital – ₱500

Hand Drill – ₱250

Total: ₱500 Total: ₱500

ROA = Net Profit = ₱7,000 = 0.14%

Total Profit 500