ASSIGNMENT NO.

2(FINANCIAL STATEMENT OF B-FOODIE RESTAURANT)

SUBJECT:ENTREPRENEURSHIP.

ID NO: 16053 BBA 2YEAR.

PREPARED BY: MUHAMMAD MUGHEES NAZIR.

SUBMITTED TO: SIR DR.MUHAMMAD AMIR ADAM.

 FINANCIAL STATEMENT OF B-FOODIE RESTAURANT

BALANCE SHEET

End of YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Construction
Fixed Assets
Intangibles
Plant&machinery 971700 971700 971700 971700 971700 971700
Acc Depreciation 64780 129560 194340 205000 220000
P&M
9006920 842140 777360 776670 751700
0
Furniture&Fixture 165680 165680 165680 165680 165680 165680
Acc 16560 33130 49700 60960 82560
Depreciation:F&F
149120 132550 115980 104720 83120
Vehicles 70000 70000 70000 70000 70000 70000
Acc 14000 28000 42000 56000 70000
Depreciation:vehicle
56000 42000 28000 14000
Total Fixed Assets 269850 245404 220980 196120 17550 160480
Current Assets
Cash &Bank balance 471500 488500 528960 550720 580980 655720
Short term 300000 450000 600000 750000 900000
investment
Inventory 120000 144000 172800 207600 202800 245600
Total current Assets 591500 932500 1151760 1368320 153378 1801320
0
Total Assets 860000 904540 967540 1015440 104565 1080500
0
Current Liabilites
Account Payable 60000 72000 86400 108000 120000 132000
Rent Payable 20000 20000 20000 20000 20000
Tax Payable 8080 35520 57175 65580 80220
Interest Payable 20467 15860 13867 11750 90650
Total Current 60000 120527 124872 102837 217330 322870
Liabilities
Long term Liabilities
Long term Loan 1400000 840000 640000 360000 160000
Total Liabilities 1460000 960527 764872 462837 367330 32870
Owner’s Equity
Capital 2000000 2000000 2000000 2000000 200000 2000000
0
Retained Earning 150198 659668 1062603 145233 1860650
2
Total 3460000 3110725 3424540 3525440 381766 3893520
Equity+Liabilities 0

INCOME STATEMENT OF B-FOODIE:

Year 1 Year 2 Year3 Year4 Year5

Total sales 1278000 1533600 1763600 1982800 2195900

Cost of Goods 958500 1150200 1322730 1565820 1725460

sold
Gross Profit 319500 383400 440910 416980 470440

Operating Expense 60000 60000 60000

Electrictiy 60000 60000 12000 12000 12000
Sui gas 12000 12000 3000 3000 3000
Water 3000 3000 240000 240000 240000
Rent for 240000 240000
Building
Fuel exp 12600 12600 12600 12600
12600 12600 14400 14400 14400
Telephone 14400 14400
Advertising 20000 20000 20000 20000
Expense 20000 6000 6000 6000
Misellaneous 6000 6000
Salary exp 363600
Dep exp
Plant&Machinery 6478 6478 6478
6478 6478
Dep exp 16568 16568 16568
Furniture&fixture 16568
16568 1400 1400 1400
Depreciation 1400
Expense-vehicle
1400
Total Operating
Expense 756045 746045 746045 746045 746045
Other income
480000 480000 480000 480000 480000
Operating profit

(EBIT)
43450 117350 174860 195560 246520
Interest payment
For loan 20346 15866 11386 90656 70523

Net profit before

Tax(EBT) 23107 101487 163477 210566 245797

Income Tax(35%) 8087 35520 57217 80418 98426

Net Profit After 15019 65966 106260 125670 160980

tax
CASH FLOW STATEMENT:

End of YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

construction
year
Source of funds
Operating 43450 117350 174860 195560 246520
Profit
Add: 24440 24440 24440 24440 24440
Depreciation
Total funds 67890 141790 199300 220000 270960
from
operations
DFI
Loans 140000
Paid up Capital 660000
Bank 60000
borrowings
Total Sources 860000 67890 141790 199300 220000 270960
of funds
Applications of
funds
Investment in 269850
fixed Assets
Preproduction 240150
Expense
Repayment of 32434 84000 594703
loans
Interest on 20346 15866 11386
loans
Increase in 120000 24000 28800 34560
current Assets
Payment of 8087 35520 57217
income tax
Short term 30000 15000 15000
investment
Total 389850 50000 100850 177630
Applications of
Funds

Cash 470150 17900 40946 211676

Surplus/deficite
Cash at the 470150 488050 528996
beginning of
year
Cash at the End 470150 488050 528996 550672
of the Year
CONCLUSION AND RECOMMENDATION:
1.The restaurant being located in an area like PECHS it will be facing an ever increasing fierce
competition therefore the menu and same special features must be continuously evoleved.

2. The restaurant should work effectively and efficiently to grab a huge part of local market share within
one year of its operations and make it presence felt to its competitors.

3.In order to gain consumer appeal the restaurant should particularly take care of its customer service
,food quality,hygiene

4.Best quality and freshness of all the raw materials to be used in the menu must be ensured.

5.the restaurant can also offer an introductory discount to attract customers.

6.The restaurant should use efficient cost saving techniques to get the best benefit out of pricing.

7.The restaurant can also offer free delivery services of certain menu items in selected area.

8.The owners should give incentives to their workers so they work efficiently and provide good customer
service.