# Solar-Powered Camping Tent Financial Analysis

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A Solar-Powered Camping Tent
Executive SummaryIn this paper business data analysis is done in which the financial planning model is prepared to analyze the impact of change in planned sales volume and price of the product.
IntroductionIn this present paper, we will discuss the solar powers tents which are designed by the Kaleidoscope and Orange Company for celebrating the Glastonbury festival. The objective of thepaper is to analyze the different scenarios in which the rate of inflation and level of sales changeswhich impacts the profitability of the company. In the methodology section the financial planning model is discussed and two scenarios. The general development of the spreadsheet simulation model is analyzed and on the basis of which recommendations has been made. The solar powered tents are also called as concept tents. These tents have a capability of absorbing the light of sun directly due to which it is revolutionary in nature. The other features oftent include installation of central wireless control hub which helps to control the energy generated and utilize. The price of a tent is fixed according to the estimated cost of a tent. The financial planning model is required to identify the impact of change in sales and inflation rate. MethodologyTask 1: Financial planning ModelDemandSelling priceFixed costVariable costRate of taxRate of inflationSalesTotal costRaw materialPackagingDirectlaborDistribution20006510,000825320%-13000022006710,000825320%3%14740024206910,000825320%5%16698026627110,000825320%6%189002In the financial planning model the net profit is changed in planned sales volume and change in price. In the first year the sale price is 65 and the sales volume is 130,000 so the net profit is 95,986. In second year the selling price is increased by 2 so the new price is 67 and the total salesvolume is 147,400. So, the net profit is increased by 51,414. The sales price in third year is 69 which are increased by 2 and the sales volume is 166,980 then net profits are 125,570. The net profit from second to third year is increased by 15,664. The sales price in fourth year is 71 whichare increased by 2 then the sales volume is 189,002 and the net profit is 143,187. The net profit isincreased by 17,618. It shows the change in sales price and sales volume impacts the newt volume in four years.

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