Financial Plan: Sushi Restaurant - Budget, Cash Flow & KPIs

This report provides a business plan for a Sushi restaurant, covering essential aspects such as the business idea, risk analysis, cost determination, and financial forecasting. It includes a summarization of the business idea, an analysis of financial risks associated with the initial investment, and a discussion of fixed and variable costs. The report also features a budgeted profit forecast statement, a cash flow statement, and a determination of the break-even point and margins of safety. Furthermore, it discusses the applicability of Key Performance Indicators (KPIs) for management to check the performance of the Sushi restaurant and provides recommendations for improving business operations. The plan addresses market research, competitor analysis, and potential sources of finance, offering a comprehensive overview of the financial considerations for establishing and managing a successful sushi restaurant.

Business finance for
managers- Business plan

Contents
INTRODUCTION.....................................................................................................................................3
MAIN BODY............................................................................................................................................3
TASK 1......................................................................................................................................................3
Summarisation of business idea and analysis of risk that organisation can face for initial investment
for business............................................................................................................................................3
TASK 2......................................................................................................................................................5
Discuss the various fixed as well as variable costs:..............................................................................5
TASK 3......................................................................................................................................................9
Preparation of Budgeted profit forecast statement................................................................................9
TASK 4....................................................................................................................................................10
Make the cash flow statement.............................................................................................................10
TASK 5....................................................................................................................................................11
Determination of break-even point and margins of safety..................................................................11
TASK 6....................................................................................................................................................12
Discussion of how KPIs of the management theory would be applicable to check the performance of
Sushi restaurant...................................................................................................................................12
TASK 7....................................................................................................................................................13
Recommendations...............................................................................................................................13
CONCLUSION.......................................................................................................................................13
REFERENCES........................................................................................................................................14
APPENDIX.............................................................................................................................................15

INTRODUCTION
The concept of the finance for a business concern is very significant as it helps an organisation
in starting and carrying out the business activities. This is considered as the most essential source for
an organisation in making its business operations more effective as well as efficient. In order to do this,
there is a requirement of a business plan that will provide the owner of a business a clear and well-
defined vision, set objectives and aim for the attainment of success of the business. Within this existing
report, Sushi restaurant is going to be operated and a business plan in relation to respective
organisation will also be conducted (Ahmadpour, 2021). In this business plan, things that will be
covered are idea, products risks, costs, capital supplies and investment. Along with it, the variable and
fixed costs will also be determined on the basis of different products. Furthermore, profit as well as
cash flow statement will also be present in this report for ascertaining profits of business. Moreover,
KPIs and recommendations to the business will be given on the basis of the ascertained cost.
MAIN BODY
TASK 1
Summarisation of business idea and analysis of risk that organisation can face for initial investment for
business
Business plan refers to a planned document that gives strategic direction and an overview of the
future business. It is drafted for the strategies that are being planned for the starting of business. it
facilitates in clarifying the business idea and created it more easy process of establishment. For
attaining target promotion, financial strategies as well as effective management are created for
organisational success.
Business Idea: The business idea states that the objectives of respective business are to
promote another business which is related to the food industry. In order to do this, business concern
would provide appealing dinners to shoppers (Alda and Vicente, 2020). Persons might receive an
assortment of food related items from the restaurants, cafes and they can likewise receive customised
food items which would be according to their needs and requirements.
Market research: This is very essential aspect for understanding the market trends along with
the taste and preferences of the market share in relation to food items. As per the business, products
and ingredients that are going to be used in the business would be taken because taste of the customer
base varies on regular basis.

Location: The respective business is located in the Walkden Shopping Centre in the United
Kingdom which is the crowdy as well as famous place for wandering and spending time with the
families.
Competitors: The competitors for this business are not very large in number in the market
since there are such countless stores in London city that would provide a wide variety of food products
(Al-Turfi, 2021). Purple Longue is the significant adversary.
Sources of Finance: There are a large number of wellsprings of money that would facilitate in
opening a cafe at a very rumoured place with different aspects such as bank advances, association and
many more. According to the reasonableness, identify of any hotspot for the finance to open a new
eatery.
Customers: England is an affluent town with a large number of teachers as well as
understudies, are creating it an optimal place. Market share within this location will buy the food
products in a very short timeframe.
Why do buyers prefer these items and related services: Food is the necessity of a human
being and a wide number of foodies are anxious to identify with regards to new cafes and restaurants as
well as to visit new place. Consequently, people would decide to taste new and innovative food items
that are offered by the restaurant in a transformed structure to their supporter. Business people,
understudies, housewives along with the youngsters all are looking for the delightful and delicious
food.
Financial risks: England has an assortment of cafes. Among the key obligations, individuals
would have as an organisation proprietor is to transact with the monetary dangers that are related with
the creation and keeping up of a cafe (Bird, 2021). Truly, there is no chance of planning for the
unanticipated losses, even subsequent to do all fundamental examination as well as cycles for making
sure that enough money would have to be sure been assigned as organisation is burdened by it.
Keeping a record of their use and pay and being cognizant all the time of their monetary status as well
as being creative with the assets of the business.
Initial funds needed: Additionally, bank credits are a practical choice to get underlying capital
as well as business activity in which the cash is needed for an eatery. Furthermore, bank credits
required a considerable amount of desk work and organisation. Advances or loans from the bank, then
again, it can be a clear way to acquire gave a solid procedure of the business along with the settlement
of proper security.

TASK 2
Discuss the various fixed as well as variable costs:
New businesses are needed to determine the costs which would be incurred by them and along
with it how these costs would help in generating the profit margins within the business. There are
various costs that are associated with the business and to simplify the concept of costs, major costs are
diversified into the two main heads that are described as follows:
Fixed costs: These types of costs are said to be the amounts that are incurred by the business
which does not change as per the change in the number of units produced (De Livera, 2020). The
production has no influences on such heads and is borne by the business even if the production of the
business has gone to the zero level. There are some examples of the fixed costs like advertisements,
rent, electricity, salary, etc. The overall projected Fixed cost of the respective restaurant is £ 144830.
Variable costs: These types of costs are defined as the amount of cost that is incurred by the
business that is directly concerned with the number of units produced by the organisation. The cost of
the production within the business can be taken under this type of head because these kinds of costs are
directly impacted by the units that are produced within the business (Hu and et.al, 2021). There are
some of the examples of variable costs such as inventory costs, raw materials, transportation charges,
telephone bills and many more. The overall projected variable cost of the respective restaurant is £
482584.
Salmon
costing
1 Bowl Total Costs Selling Price
Description No of hours
Material
kgs/g/ltrs/
m
£ Rate per
Hour/kg/ltr
Total
Variable
Cost/unit £
Fixed
Cost/Unit
Total
Cost/Uni
t
Markup
+50% or
100% Up
to you
Selling
Price
£ 50%
Labour 0.02 14.25235 0.29
Mango Salsa 0.25 15 3.75
Avocado 0.02 1.07 0.02
Seaweed Salad 0.5 0.6 0.30
Red Oninon 1 0.09 0.09

Rice 0.012 0.02 0.00
Chopsticks 2 0.2 0.40
stirrers,
napkins 1 0.02 0.02
-
4.87 1.68 6.55 3.27 9.8
Tuna Poke Bowl costing
1 Bowl Total Costs Selling Price
Description No of hours
Material
kgs/g/ltrs/
m
£ Rate per
Hour/kg/ltr
Total
Variable
Cost/unit £
Fixed
Cost/Unit
Total
Cost/Uni
t
Markup
+50% or
100% Up
to you
Selling
Price
£ 24%
Labour 0.05 12.053 0.60
Mango salsa 0.22 16 3.52
Avocado 0.02 1.08 0.02
Seaweed Salad 0.5 0.6 0.30
edamame 1 0.09 0.09
Rice 0.012 0.02 0.00
Chopsticks 2 0.2 0.40
stirrers,
napkins 1 0.02 0.02
-
4.95 1.68 6.63 1.59 8.2
Tofu Poke costing
1 Bowl Total Costs Selling Price
Description No of hours
Material
kgs/g/ltrs/
m
£ Rate per
Hour/kg/ltr
Total
Variable
Cost/unit £
Fixed
Cost/Unit
Total
Cost/Uni
t
Markup
+50% or
100% Up
to you
Selling
Price

£ 62%
Labour 0.03 25.875 0.78
miso tofu
sashimi 0.5 1.48 0.74
Avocado 0.96 2 1.92
Seaweed Salad 1 0.09 0.09
edamame 0.012 0.02 0.00
Rice 2 0.2 0.40
Chopsticks 1 0.02
stirrers,
napkins
-
3.93 1.68 5.61 3.48 9.0
Sandwiches costing
1 piece Total Costs Selling Price
Description No of hours
Material
kgs/g/ltrs/
m
£ Rate per
Hour/kg/ltr
Total
Variable
Cost/unit £
Fixed
Cost/Unit
Total
Cost/Uni
t
Markup
+50% or
100% Up
to you
Selling
Price
£ 62%
Labour 0.01 15.2568 0.15
Bread 2 0.24 0.48
Falafel/foul 2 0.24 0.48
salad 1 0.15 0.15
sauce 1 0.19 0.19
napkin 1 0.26 0.26
-
1.71 0.01 1.72 1.07 2.7

Labour per annum per month per hour
Barista 18,000
1,5
00 9.38
Waiter 18,000
1,5
00 9.38
2 employees in
kitchen 37,000
3,0
83 19.27
Table cleaner 17,500
1,4
58 9.11
Fixed Costs
PER
ANNUM
per
month
Total
units
Fixed
cost/unit
Salaries(Fixed) 44,400 3700
Assistant manager 26,400 2200
General cleaning 18,000 1500
Rent 19,200 1600
Furniture 4,200 350
Marketing/Adv/Legal/
Accountancy 4,500 375
Electricity/Gas 5,400 450
Equipment's depreciation 4,200 350
Office costs 15,000 1250
Total Fixed Costs 1,41,300 84,175.00 1.68
FIXED COSTS
Salaries(Fixed) £44,400
Assistant manager £26,400
General cleaning £18,000
Rent £19,200
Furniture £4,200
Marketing/Adv/Legal/
Accountancy £4,500
Electricity/Gas £5,400
Equipment's depreciation £4,200
Office costs £15,000

Initial costs
Baking Machines £2,500
Inox tables £150
Television £100
Fripteuse £125
Boilers £150
Cutlery £50
Tables and chairs £275
Bar furniture £180
Total fixed costs £1,44,830
TASK 3
Preparation of Budgeted profit forecast statement
Sales TOTAL
Salmon £3,31,418
Tuna Poke Bowl £3,22,953
Tofu Poke Bowl £2,49,010
Sandwiches £42,312
TOTAL SALES £9,45,692
Less variable costs
Salmon £1,77,950
Tuna Poke Bowl £1,60,182
Tofu Poke Bowl £1,18,332
Sandwiches £26,120
TOTAL Variable.COST £4,82,584
Contribution £4,63,108
Less fixed costs
Salaries(Fixed) £44,400
Assistant manager £26,400
General cleaning £18,000
Rent £19,200
Furniture £4,200
Marketing/Adv/Legal/Accountancy £4,500

Electricity/Gas £5,400
Equipment's depreciation £4,200
Office costs £15,000
TOTAL FIXED COSTS £1,41,300
NET PROFIT £3,21,808
TASK 4
Make the cash flow statement
January February March April May June July August SeptemberOctober NovemberDecember TOTAL
Sales
Salmon 27210 29024 28570.5 28117 26303 27028.6 27210 27663.5 26756.5 27210 28117 28207.7 331417.8
Tuna Poke Bowl27944 25948 27445 25948 26447 27445 26347.2 27944 28942 28542.8 25548.8 24451 322952.8
Tofu Poke Bowl22329 21502 20344.2 20675 19351.8 19848 21171.2 20261.5 20675 20261.5 21088.5 21502 249009.7
Sandwiches 3462.5 3254.75 3601 4432 3324 2908.5 3102.4 3130.1 3462.5 3878 3739.5 4016.5 42311.75
TOTAL SALES80945.5 79728.75 79960.7 79172 75425.8 77230.1 77830.8 78999.1 79836 79892.3 78493.8 78177.2 945692.1
January February March April May June July August SeptemberOctober NovemberDecemberTOTAL
Less variable costs
Salmon 14610 15584 15340.5 15097 14123 14512.6 14610 14853.5 14366.5 14610 15097 15145.7 177949.8
Tuna Poke Bowl13860 12870 13612.5 12870 13117.5 13612.5 13068 13860 14355 14157 12672 12127.5 160182
Tofu Poke Bowl10611 10218 9667.8 9825 9196.2 9432 10060.8 9628.5 9825 9628.5 10021.5 10218 118332.3
Sandwiches 2137.5 2009.25 2223 2736 2052 1795.5 1915.2 1932.3 2137.5 2394 2308.5 2479.5 26120.25
TOTAL V.COST41218.5 40681.25 40843.8 40528 38488.7 39352.6 39654 40274.3 40684 40789.5 40099 39970.7 482584.4
Contribution 39727 39047.5 39116.9 38644 36937.1 37877.5 38176.8 38724.8 39152 39102.8 38394.8 38206.5 463107.7
January February March April May June July August SeptemberOctober NovemberDecemberTOTAL
Less fixed costs
Salaries(Fixed) 3700 3700 3700 3700 3700 3700 3700 3700 3700 3700 3700 3700 44400
Assistant manager2200 2200 2200 2200 2200 2200 2200 2200 2200 2200 2200 2200 26400
General cleaning1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 18000
Rent 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 19200
Furniture 350 350 350 350 350 350 350 350 350 350 350 350 4200
Marketing/Adv/Legal/Accountancy375 375 375 375 375 375 375 375 375 375 375 375 4500
Electricity/Gas 450 450 450 450 450 450 450 450 450 450 450 450 5400
Equipment's depreciation350 350 350 350 350 350 350 350 350 350 350 350 4200
Offi ce costs 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 15000
TOTAL FIXED COSTS11775 11775 11775 11775 11775 11775 11775 11775 11775 11775 11775 11775 141300
NET PROFIT 27952 27272.5 27341.9 26869 25162.1 26102.5 26401.8 26949.8 27377 27327.8 26619.8 26431.5 321807.7
Cash flow Statement

TASK 5
Determination of break-even point and margins of safety
Break-even point (in units) = Fixed Cost / (Selling price per unit – Variable Cost per Unit)
Salmon:
Fixed Cost = 61337.7131
Contribution = 4.95
Break – even = 61337.7131 / 4.95 = 12388.17365
Tonu Poke Bowl:
Fixed Cost = 54320.97416
Contribution = 4.95
Break – even = 16608.88
Tofu Poke Bowl:
Fixed Cost = 50544.0214
Contribution = 5.15
Break – even = 9807.080046
Sandwiches:
Fixed Cost = 152.75
Contribution = 1.08
Break – even = 141.6986187
Margin of Safety:(Current Sales –Break Even Sales) / 331417 * 100
Salmon = (36540 - 12388.17365) /36540 * 100
= 66.26%
Tonu Poke Bowl = (32360 – 16608.88) / 32360 * 100
= 48.67%
Tofu Poke Bowl = (30110 – 9807.080046) / 30110 * 100
= 67.4%
Sandwiches = (15275 –141.69) / 15275

= 99.07%
TASK 6
Discussion of how KPIs of the management theory would be applicable to check the performance of
Sushi restaurant
Key Performance Indicators (KPIs) is defined as the measures that are applied in the management
theory that states regarding performance and growth of business. These types of indicators help in
evaluation that whether the business is making its operations according to the pre determined budget or
not (Matemilola and et.al, 2018). Along with it, this also evaluates whether the financial earnings of the
business are sufficient to gain competitive advantages over rivalries in the market. There are some
KPIs in context to the respective restaurant:
 Satisfaction level of customers: This is the main key performance indicator of the
products of respective restaurant. The satisfaction level of market share would help the
business in creating a strong understanding regarding the position of products of the
business within the market. The products that are more in requirement of the customers
would help the business in increasing the viability and also in meeting organisational
objectives.
 Products and services: KPI of the business helps the management in addressing the
quantity as well as quality of products that are in requirement with the market share. It
helps in measuring how efficient is the stock management along with the supply chain of
the business (Mundi, Kaur and Murty, 2021). Respective restaurant would be benefit in
its time as well as cost declining in different business operations such as manufacturing
and supplying of goods.
 Prime cost: It refers to that cost which is incurred in organisation and is directly related
to the manufacturing of product. This kind of KPI would facilitate the business in
ascertaining the cost which is incurred by business on its direct materials and other direct
expenses which are associated with the production of goods. It shows the business
effectiveness that may have in its production for extending business profitability.
 Innovation: This type of KPI expresses the growth of business within the market place
(Rasheed and Siddiqui, 2019). It speaks regarding innovation with the business or

development of unique products within the market each year. The Restaurant might try to
bring innovative dishes in market as well as cater needs and requirements of the customer
base in relation to those goods.
TASK 7
Recommendations
From above analysis, it can be seen that Sushi Restaurant is at good position and business is
projected to have profits in first year of its operations. Restaurant primarily deals in three products that
can be seen to have extending requirements in the months. Fixed as well as variable costs are
mentioned above and it can be displayed that total fixed cost is £ 144830 and the variable cost is £
482584. The business is earning profit margins however, it is recommended to concentrate on the
methods for reducing its variable costs and fixed cost so that it may gain its revenue for future period
also. Prices of the products of restaurant are also seemed little high because of these costs. Therefore,
the business is required to reduce its variable costs to some extent.
CONCLUSION
From above explanation of the report, it has been concluded that before commencing a new
business, an entrepreneur is required to be extreme careful regarding various costs that may occur in
business. efficiency in different business operations are also mandatory to be taken into consideration,
the break-even point along with the margins of safety are considered as essential aspects in the costing
theory that helps business in taking risks effectively and efficiently by maintaining no profit and no
loss situation in case the business is newly started. Furthermore, KPIs facilitated the business in
framing its strategies and evaluating whether it is performing up to the mark or not. It also helps the
business in identifying that whether it is able to gain its profits over the revenues and costs.

REFERENCES
Books and Journals
Ahmadpour, K., 2021. Essays in Behavioral Finance: Investor Response to Oil Spills, and Hedge Fund
and CTA Managers' Risk Shifting Behavior (Doctoral dissertation, Ghent University).
Alda, M. and Vicente, R., 2020.Behavioural analysis of socially responsible investment managers:
specialists versus non-specialists. Research in International Business and Finance, 54,
p.101303.
Al-Turfi, A. H. F., 2021.he Effect of Strategic Learning in adopting Digital Business Strategies through
the Mediating Role of Strategic Capabilities Analytical Exploratory Research of the views of a
sample of Mobile Telecommunications Companies Managers in Holy City of
Karbala. ENTERPRENEURSHIP JOURNAL FOR FINANCE AND BUSINESS, 2(3).
Bird, R. C., 2021.Legally astute managers as a source of value in organizations. Business Horizons.
De Livera, M. S. S., 2020. Impact of Corporate Incentives of Finance Managers on Financial
Performance of Public Listed Companies in Sri Lanka.In Proceedings of International
Conference on Business Management (Vol. 17).
Hu and et.al, 2021. Does international experience of managers bring financing benefits? Evidence from
the cost of equity capital. Journal of Contemporary Accounting & Economics, p.100294.
Matemilola and et.al, 2018. Does top managers’ experience affect firms’ capital structure?. Research in
International Business and Finance, 45, pp.488-498.
Mundi, H. S., Kaur, P. and Murty, R. L. N., 2021. A qualitative inquiry into the capital structure
decisions of overconfident finance managers of family-owned businesses in India. Qualitative
Research in Financial Markets.
Rasheed, R. and Siddiqui, S. H., 2019. Attitude for inclusive finance: influence of owner-managers’
and firms’ characteristics on SMEs financial decision making. Journal of Economic and
Administrative Sciences.

APPENDIX
Sal
mon
Janu
ary
Febr
uary
Mar
ch
Apr
il May June July
Augu
st
Septe
mber
Octo
ber
Nove
mber
Dece
mber
TOTA
L
Sale
s
(unit
s)
300
0 3200 3150
310
0 2900 2980 3000 3050 2950 3000 3100 3110
3654
0
Selli
ng
pric
e 9.07 9.07 9.07
9.0
7 9.07 9.07 9.07 9.07 9.07 9.07 9.07 9.07 9.07
Tota
l
sale
s
272
10
2902
4
2857
0.5
281
17
2630
3
2702
8.6
2721
0
2766
3.5
26756.
5
2721
0 28117
28207
.7
3314
17.8
Tuna Poke
Bowl
Janu
ary
Febr
uary
Mar
ch
Apr
il May June July
Augu
st
Septe
mber
Octo
ber
Nove
mber
Dece
mber
TOTA
L
Sale
s
(unit
s)
280
0 2600 2750
260
0 2650 2750 2640 2800 2900 2860 2560 2450
3236
0
Selli
ng
pric
e 9.98 9.98 9.98
9.9
8 9.98 9.98 9.98 9.98 9.98 9.98 9.98 9.98 9.98
Tota
l
sale
s
279
44
2594
8
2744
5
259
48
2644
7
2744
5
2634
7.2
2794
4 28942
2854
2.8
25548
.8 24451
3229
52.8
Tuna Poke
Bowl
Janu
ary
Febr
uary
Mar
ch
Apr
il May June July
Augu
st
Septe
mber
Octo
ber
Nove
mber
Dece
mber
TOTA
L
Sale
s
(unit
s)
270
0 2600 2460
250
0 2340 2400 2560 2450 2500 2450 2550 2600
3011
0
Selli 8.27 8.27 8.27 8.2 8.27 8.27 8.27 8.27 8.27 8.27 8.27 8.27 8.27

ng
pric
e 7
Tota
l
sale
s
223
29
2150
2
2034
4.2
206
75
1935
1.8
1984
8
2117
1.2
2026
1.5 20675
2026
1.5
21088
.5 21502
2490
09.7
Sandwiches
Janu
ary
Febr
uary
Mar
ch
Apr
il May June July
Augu
st
Septe
mber
Octo
ber
Nove
mber
Dece
mber
TOTA
L
Sale
s
(unit
s)
125
0 1175 1300
160
0 1200 1050 1120 1130 1250 1400 1350 1450
1527
5
Selli
ng
pric
e 2.77 2.77 2.77
2.7
7 2.77 2.77 2.77 2.77 2.77 2.77 2.77 2.77 2.77
Tota
l
sale
s
346
2.5
3254.
75 3601
443
2 3324
2908
.5
3102
.4
3130
.1 3462.5 3878
3739.
5
4016.
5
4231
1.75

Profit and Loss forecast for the 12 months ending 31 December 2022
January February March April May June July August September October November December TOTAL
Sales
Salmon 27,210.00 29,024.00 28,570.50 28,117.00 26,303.00 27,028.60 27,210.00 27,663.50 26,756.50 27,210.00 28,117.00 28,207.70 3,31,417.80
Tuna Poke Bowl 27,944.00 25,948.00 27,445.00 25,948.00 26,447.00 27,445.00 26,347.20 27,944.00 28,942.00 28,542.80 25,548.80 24,451.00 3,22,952.80
Tofu Poke Bowl 22,329.00 21,502.00 20,344.20 20,675.00 19,351.80 19,848.00 21,171.20 20,261.50 20,675.00 20,261.50 21,088.50 21,502.00 2,49,009.70
Sandwiches 3,462.50 3,254.75 3,601.00 4,432.00 3,324.00 2,908.50 3,102.40 3,130.10 3,462.50 3,878.00 3,739.50 4,016.50 42,311.75
TOTAL SALES 80,945.50 79,728.75 79,960.70 79,172.00 75,425.80 77,230.10 77,830.80 78,999.10 79,836.00 79,892.30 78,493.80 78,177.20 9,45,692.05
January February March April May June July August September October November December TOTAL
Less variable costs
Salmon 14,610.00 15,584.00 15,340.50 15,097.00 14,123.00 14,512.60 14,610.00 14,853.50 14,366.50 14,610.00 15,097.00 15,145.70 1,77,949.80
Tuna Poke Bowl 13,860.00 12,870.00 13,612.50 12,870.00 13,117.50 13,612.50 13,068.00 13,860.00 14,355.00 14,157.00 12,672.00 12,127.50 1,60,182.00
Tofu Poke Bowl 10,611.00 10,218.00 9,667.80 9,825.00 9,196.20 9,432.00 10,060.80 9,628.50 9,825.00 9,628.50 10,021.50 10,218.00 1,18,332.30
Sandwiches 2,137.50 2,009.25 2,223.00 2,736.00 2,052.00 1,795.50 1,915.20 1,932.30 2,137.50 2,394.00 2,308.50 2,479.50 26,120.25
TOTAL V.COST 41,218.50 40,681.25 40,843.80 40,528.00 38,488.70 39,352.60 39,654.00 40,274.30 40,684.00 40,789.50 40,099.00 39,970.70 4,82,584.35
Contribution 39,727.00 39,047.50 39,116.90 38,644.00 36,937.10 37,877.50 38,176.80 38,724.80 39,152.00 39,102.80 38,394.80 38,206.50 4,63,107.70
Because we expected constant sales throughout the year, it results in constant variable costs per month
January February March April May June July August September October November December TOTAL
Less fixed costs
Salaries(Fixed) 3700 3700 3700 3700 3700 3700 3700 3700 3700 3700 3700 3700 44400
Assistant manager 2200 2200 2200 2200 2200 2200 2200 2200 2200 2200 2200 2200 26400
General cleaning 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 1500 18000
Rent 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 1600 19200
Furniture 350 350 350 350 350 350 350 350 350 350 350 350 4200
Marketing/Adv/Legal/Accountancy375 375 375 375 375 375 375 375 375 375 375 375 4500
Electricity/Gas 450 450 450 450 450 450 450 450 450 450 450 450 5400
Equipment's depreciation 350 350 350 350 350 350 350 350 350 350 350 350 4200
Offi ce costs 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 1250 15000
TOTAL FIXED COSTS 11775 11775 11775 11775 11775 11775 11775 11775 11775 11775 11775 11775 141300
NET PROFIT 27,952.00 27,272.50 27,341.90 26,869.00 25,162.10 26,102.50 26,401.80 26,949.80 27,377.00 27,327.80 26,619.80 26,431.50 3,21,807.70