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Kindly navigate to the next tab to start the exercise. The details of each mo
Classification: Public
o start the exercise. The details of each month is present on a separate tab.
Classification: Public
Cash beginning $0
Cash in
Share capital $5,000
Cash out
Food supply $750
Cash end $4,250
JANUARY
PRODUCTION COST
Material cost $1.50 /pizza
Water & electricity $0.50 /pizza
Total $2.00 /pizza
FEBRUARY
PRODUCTION COST
Material cost $1.50 /pizza
Water & electricity $0.50 /pizza
Total $2.00 /pizza
MARCH
I buy the truck for: $36,000 (to be paid half in March and half in April)
I will use the truck for: 3 years in total
I visit the supermarket once more to purchase food:
Food supply: $5,000
I sell: 1 000 pizzas to individual customers who all pay in cash
Plus: 2 000 pizzas to a neighbouring company (payment terms: 30 days)
The selling price will be: $10 /pizza for all customers (individuals & the neighbouring company)
I bear the following additional expenses:
Material cost: $1.50 /pizza (past inventory & food just bought at the supermarket)
Water & electricity: $0.50 /pizza
Part-time employee: $1,000
Truck insurance: $300
PRODUCTION COST
Material cost $1.50 /pizza
Water & electricity $0.50 /pizza
Total $2.00 /pizza
APRIL
PRODUCTION COST
Material cost $1.50 /pizza
Water & electricity $0.50 /pizza
Total $2.00 /pizza