DELIGHT BEVERAGE LIMITED

INCOME STATEMENT
FOR THE PERIOD ENDED 27TH JANUARY 2024

Kshs Kshs

Sales revenue 329596

Less cost of goods sold

Opening stock 21230

Add: purchases - 71805

Milk - 177480 249285

Less expired goods (12170)

Closing stock (13070) (245275)

Gross profit 84321

Less expenses

Salaries 88000

Fuel 54020

Sugar 15840

Blow ups 21060

Leakages 6445

Transport 6500

Lunch 5200

Mpesa charges 1300

Police charges 1600

Parking fees 1250

Aluminum foil 10300

Other fees 3350 214865

130544

Recommendations
1. Reduce the salaries and introduce commission if they hit the target.
2. Reduce the production cost
3. Regularly review financial performance and adjust strategies as needed to address any emerging
issues
4. Minimize wastage by producing only what can be sold within a specific period of time before
expiry.
5. Negotiate with suppliers for better policies on ingredients
6. Review all expenses and identify areas where cost can be reduced
7. Offer discount on loyalty programs to encourage repeat customers and attract new customers