W04 Creative Cakes Practice Projected Balance Sheet

Creative Cakes
Projected Financial Statements
For the 6 Months ended June 30, 2022

Assumptions
Avg. cake price $ 55
Avg. cake cost $ 27 Days Inventory
Cakes/customer 1.0 Equip Life
Subscriber rate 7.5% Days Receivable
Avg. no. of months of subscription 6 Days Payable
Avg. Subscription Price $ 4.99
Initial # of clicks/Mnth 415
Conversion Rate 4%
Growth Rate/Month 1.5%
Cost Per Click $ 0.35
1 2
Sales in units Jan Feb
PPC clicks 415 421
Cake Sales (units) 17 17
New Subscribers 1.2 1.3
Ended Subscription - -
Number of subscribers 1 3

PROJECTED PROFIT & LOSS STATEMENT

Revenue Jan Feb
Subscription Sales $ 6 $ 13
Cake Sales 913 927
Total Sales $ 919 $ 939
Cost of Goods Sold 448 455
Gross Profit $ 471 $ 484
Expenses
Advertising Cost $ 145 $ 147
Depreciation $ 100 $ 100
Packaging & Shipping 55 55
Office Supplies 15 15
Internet Services & Fees 75 75
Utilities 35 35
Total Expenses $ 425 $ 427

Net Income (Loss) $ 46 $ 57

BALANCE SHEET
Dec Jan Feb
Assets
Cash $ 5,141 $ 5,288
Accounts Receivable 214 219
Inventory 418 425
Equipment 3,600 3,600
Less: Accumulated Depreciation (100) (200)
Total Assets $ 9,273 $ 9,332

Liabilities:
Accounts Payable (Total Exp. Less Depreciation) $ 228 $ 229
Notes Payable (add $3000 in Jan) 3,000 3,000
Total Liabilities $ 3,228 $ 3,229
Dec
Owner's Equity
Paid-in-Capital $ 6,000 $ 6,000
Less: Owner's Withdrawal - -
Retained Earnings 46 103
Total Owner's Equity $ 6,046 $ 6,103

Total Liabilities and O/E $ 9,273 $ 9,332

Difference 0.00 (0.00)

Assets = Liabilities + OE
(L+OE)-A= Cash
 April
28 15
36
7
21

3 4 5 6
Mar Apr May Jun
428 434 440 447
17 17 18 18
1.3 1.3 1.3 1.3
- - - -
4 5 6 8

Mar Apr May Jun

$ 19 $ 25 $ 32 $ 39
941 955 969 984
$ 960 $ 980 $ 1,001 $ 1,022
462 469 476 483
$ 498 $ 511 $ 525 $ 539
$ 150 $ 152 $ 154 $ 156
$ 100 $ 100 $ 100 $ 100
55 55 55 55
15 15 15 15
75 75 75 75
35 35 35 35
$ 430 $ 432 $ 434 $ 436

$ 68 $ 80 $ 91 $ 103

Mar Apr May Jun

$ 5,447 $ 5,820 $ 6,004 $ 6,200

224 229 234 239
431 234 238 241
3,600 3,600 3,600 3,600
(300) (400) (500) (600)
$ 9,402 $ 9,483 $ 9,575 $ 9,680

$ 231 $ 232 $ 234 $ 236

3,000 3,000 3,000 3,000
$ 3,231 $ 3,232 $ 3,234 $ 3,236

$ 6,000 $ 6,000 $ 6,000 $ 6,000

- - - -
171 250 341 444
$ 6,171 $ 6,250 $ 6,341 $ 6,444

$ 9,401 $ 9,483 $ 9,575 $ 9,680

(0.00) 0.00 (0.00) 0.00

W04 Creative Cakes Practice Projected Balance Sheet

Creative Cakes
Projected Financial Statements
For the 6 Months ended June 30, 2022

Assumptions
Avg. cake price $ 55 April
Avg. cake cost $ 27
Cakes/customer 1.0 Days Inventory 28 15
Subscriber rate 7.5% Equip Life 36
Avg. no. of months of subscription 6 Days Receivabl 7
Avg. Subscription Price $ 4.99 Days Payable 21
Initial # of clicks/Month 415
Conversion Rate 4%
Growth Rate/Month 1.5%
Cost Per Click $ 0.35
1 2 3 4 5 6
Sales in units Jan Feb Mar Apr May Jun
PPC clicks 415 421 428 434 440 447
Number of Cakes Sold 17 17 17 17 18 18
New Subscriptions Each Month 1.2 1.3 1.3 1.3 1.3 1.3
Subscriptions Ended Each Month - - - - - -
Subscriptions Sold Each Month 1 3 4 5 6 8

PROFIT & LOSS (P&L)

Revenue Jan Feb Mar Apr May Jun
Subscription Sales $ 6 $ 13 $ 19 $ 25 $ 32 $ 39
Cake Sales 913 927 941 955 969 984
Total Sales $ 919 $ 939 $ 960 $ 980 $ 1,001 $ 1,022
Cost of Goods Sold 448 455 462 469 476 483
Gross Profit $ 471 $ 484 $ 498 $ 511 $ 525 $ 539

Expenses
Advertising Cost $ 145 $ 147 $ 150 $ 152 $ 154 $ 156
Depreciation 100 100 100 100 100 100
Packaging & Shipping 55 55 55 55 55 55
Office Supplies 15 15 15 15 15 15
Internet Services & Fees 75 75 75 75 75 75
Utilities 35 35 35 35 35 35
Total Expenses $ 425 $ 427 $ 430 $ 432 $ 434 $ 436

Net Income (Loss) $ 46 $ 57 $ 68 $ 80 $ 91 $ 103

BALANCE SHEET Dec Jan Feb Mar Apr May Jun

Assets
Cash $ 5,141 $ 5,288 $ 5,447 $ 5,820 $ 6,004 $ 6,200
Accounts Receivable 214 219 224 229 234 239
Inventory 418 425 431 234 238 241
Equipment 3,600 3,600 3,600 3,600 3,600 3,600
Less: Accumulated Depreciation (100) (200) (300) (400) (500) (600)
Total Assets $ 9,273 $ 9,332 $ 9,402 $ 9,483 $ 9,575 $ 9,680

Liabilities:
Accounts Payable (Total Exp. Less Depreciation) $ 228 $ 229 $ 231 $ 232 $ 234 $ 236
Notes Payable ($3000 in Jan) 3,000 3,000 3,000 3,000 3,000 3,000
Total Liabilities $ 3,228 $ 3,229 $ 3,231 $ 3,232 $ 3,234 $ 3,236
Dec
Owner's Equity
Paid-in-Capital $ 6,000 $ 6,000 $ 6,000 $ 6,000 $ 6,000 $ 6,000
Capital Withdrawal - - - - - -
Retained Earnings 46 103 171 250 341 444
Total Owner's Equity $ 6,046 $ 6,103 $ 6,171 $ 6,250 $ 6,341 $ 6,444

Total Liabilities and O/E $ 9,273 $ 9,332 $ 9,401 $ 9,483 $ 9,575 $ 9,680

Difference 0.00 (0.00) (0.00) 0.00 (0.00) 0.00

Assets = Liabilities + OE
(L+OE)-A= Cash