Sumango™

Projected Income Statement

November 1, 2010 –January 31,2010
Income
Gross Sales Php 144,000

Cost of Goods Sold (Php 72,000 )

Gross Profit Php 72,000

(Expenses)
Rent expense Php 33,000
Overhead costs and allowances Php 6,000
Advertising Php 304
Total Expenses (Php 39, 304)

Net Income Php 32,696

Explanations and computations

Composition of Gross Sales
"300 pcs. Of Sumango , sold at 2 for Php 40 for 24 selling days for/in 3 months
then 24 selling days = ( 12 selling days outside of school + 12 selling days in school)
300 is Halved = as the real number of units "sold"
300 pcs. Of Sumango ,sold at "package/bulk deal" of ; 2 Sumangoes for a total of only Php 40
300pcs. Of Sumangoes / 2 = 150 pcs of Sumangoes actually "sold" @ Php 40
thus: Gross sales = 150 pcs. Of Sumangoes @ Php 40 =Php 6000
Php 6,000 x 24 selling days = Php 144,000

Cost of Goods Sold 300 pcs @ Php 10 per piece for four weekend days
thus 300 x 10 = Php 3000
then 24 selling days = ( 12 selling days outside of school + 12 selling days in school)
thus 3000 x 24 = Php 72,000

Rent expense Rent expense

Emporia Bazaar
Rate: Php 5,500 for 4 days; Php 1,375/day
Selling days total 24 days
Rate of Php 1,375 x 24 selling days = P33,000

Overhead costs and allowances Includes Gas and transportation expenses for pick-up and delivery of order to selling location)

Advertising Advertising expense does not accrue or generate every month

since we will only be expending for Printing and Photocopying of Fliers
Printing of Php 4 (one copy only) and Photo Copying Php 1 multiplied to 300 copies
Thus: Php 4 + ( Php 1 x 300 copies of Fliers ) = Php 304