Financial Analysis & Break-Even Calculations
Added on 2020-05-03
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Running head: INTRODUCTION TO EVENT MANAGEMENTIntroduction to Event ManagementName of the StudentName of the UniversityAuthors NoteCourse ID
Running head: INTRODUCTION TO EVENT MANAGEMENTTable of ContentsExplanation of the Assumptions:...............................................................................................2Budgeted Income:......................................................................................................................4Break-even analysis:..................................................................................................................4Reference List:...........................................................................................................................8
Running head: INTRODUCTION TO EVENT MANAGEMENTExplanation of the Assumptions: The explanations to the assumptions follows that the revenue derived from theoccasion with little amount of overhead. This provides the occasion with the speedy break-even point with little amount of overhead (Akintoye, 2014). Prior to arriving at the net profittax rates are taken into the considerations for information. The event will not carry any loanburden which would be effected by the rate of tax. An event planning requires the use of the resources that are available at lower cost. Asit has been noted in the below stated table the event is anticipating to spend less on theoverhead instead of the other event planners with an outside office or with an office space intheir own facility (Johansson & Siverbo, 2014). The budgetary plans have been made toallow the event company to spend their fund in a creative manner along with the expansion inthe areas with appropriate opportunity. The anticipated net profit situation of the event is considered to be better as thesponsors, merchandise sale and vendors made up the profit of the event (Veal & Burton,2015). The event is operating with no amount of debt and this will help in increasing the networth higher. Summary of Profit/LossEstimatedTotal Income $ 2,58,750.00 Total Expenses $ 1,29,700.00 Gross Profit $ 1,29,050.00 Tax: 29% $ 37,424.50 Net Profit $ 91,625.50 Budgeted Expenditure:ExpensesSiteEstimatedEntertainmentEstimatedRoom / hall fees $ 5,000.00 Performers $ 5,000.00
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