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2005 % 2006

REVENUE
Product Sales 481,377 97.0% 620990
Equipment sales 12,557 2.5% 12734
Other sales 2,150 0.4% 991
Total Revenue 496,084 100.0% 634,715
Growth % 27.95%
Cost of Goods Sold
Product Purchases 189,677 38.2% 248,771
Equipments Purchases 8,375 1.7% 11,092
Freight 25,890 5.2% 32,683
Packaging 23,324 4.7% 18,724
Total Cost ofGoods Sold 247,266 49.8% 311,270

Gross Profit 248,818 50.2% 323,445

OPERATING EXPENSES Accounting & legal


Accounting and Legal Charges 2,657 0.5% 1,597
Advertising and promotion 598 0.1% 3,018
Amortization 7,666 1.5% 8,507
Bad debt 722 0.1% 967
Bank charges 853 0.2% 858
Benefits 0 0.0% 3,630
Insurance 5,269 1.1% 9,167
Interest 6,775 1.4% 9,496
Lab and test kits 1,114 0.2% 3,553
Meals, entertainment 10,137 2.0% 15,152
Miscellaneous 265 0.1% 466
Office expenses 9,438 1.9% 18,350
Rentals 873 0.2% 1,926
Service work 0 0.0% 3,600
Shop expenses 25,011 5.0% 32,728
Telephone 7,384 1.5% 7,387
U.S. exchange 4,142 0.8% 1,988
Vehicle expense 32,971 6.6% 34,764
Wages 132,594 26.7% 129,020
Payroll taxes 7,853 1.6% 7,169
Total Operating Expenses 256,322 51.7% 293,343
Net Earnings (loss) -7,504 -1.5% 30,102
% 2007 % 2008 %

97.8% 824494 95.9% 3,957,087 95.5%


2.0% 33639 3.9% 178,458 4.3%
0.2% 1546 0.2% 8,396 0.2%
100.0% 859,679 100.0% 4,143,941 100.0%
35.44%

39.2% 402,833 0.0% 592165


1.7% 27,784 3.2% 323067
5.1% 44,924 5.2% 59075
2.9% 13,601 1.6% 16804
49.0% 489,142 10.0% 991111

51.0% 370,537 90.0% 3,152,830

0.3% 2,616 0.3% 3,976


0.5% 4,001 0.5% 5321
1.3% 10,990 1.3% 16,188
0.2% 0 0.0%
0.1% 1,481 0.2% 2,562
0.6% 4,389 0.5% 5,311
1.4% 10,737 1.2% 15,622
1.5% 12,569 1.5% 17,094
0.6% 728 0.1% 1,238
2.4% 20,307 2.4% 28,836
0.1% 1,318 0.2% 3,018
2.9% 8,559 1.0% 10,271
0.3% 1,886 0.2% 3,008
0.6% 10,080 1.2% 19152 9000
5.2% 43,099 5.0% 56,675
1.2% 10,995 1.3% 13,689
0.3% 6,869 0.8% 13,463
5.5% 40,855 4.8% 55,733 10,200
20.3% 130,000 15.1% 172,249 40000
1.1% 6,827 0.8% 7,289
46.2% 328,306 38.2% 450,695
4.7% 42,231 51.8%
Financials

Revenue Contract Price


Product Sales $3,000,000.00

Cost of Goods Sold $1,110,000.00

Gross Margin $1,890,000.00


% 63%

Amortisation $21,000.00
Salary $40,000.00
Car Allowance $10,200.00
Maintenance Cost $9,600.00
20% of Brocks Salary $16,000.00
Interest Cost
Total Operating Cost $96,800.00
3%

Net Margin $1,793,200.00


% 60%
Adam's Annual Cost

Salary $40,000.00
Car Allowance $10,200.00
Commission
Total $50,200.00
Break even of Adam's Employment
Adam's Annual Cost

Salary $40,000.00
Car Allowance $10,200.00
Commission 25% of Sales
Total $50,200.00

Sales by Adam $100.00

Cost of Goods Sold $10.04


Commission $25.00
Contribution $64.96

(If All the sales has


Break Even of Adam's Employment been brought by Adam)
other Operative cost has b

Salary & Maintenance $50,200.00

Break Even Sales $77,277.94

Cost of Goods Sold $7,758.46


Commission $19,319.49
Salary & Maintenance $50,200.00
Total Cost $77,277.94

Net Profit $-

Assumptions

1. Cost of Goods Sold in line with Fiscal Year 2007


2. All other operating cost is fixed
5% of Sales

$100.00 $100.00

$10.04 $10.04

$89.96 $89.96

(If Adam has made


$170000 Sales as (If Adam was not able to
projected) generate New Sales)
other Operative cost has been assumed Fixed

$50,200.00 $50,200.00

$215,072.30 $116,468.49

$21,592.57 $11,693.06
$42,500.00 0
$50,200.00 $50,200.00
$114,292.57 $61,893.06

$100,779.73 $54,575.43
Sales by Adam $100.00

Cost of Sales $48.23

Contribution $51.77

On the Basis of Cost

Salary & Maintenance $50,200.00

Break Even Sales 96,965.57