M.

Financial Plan

1. Major Assumptions

 It will take two weeks to pay off the initial investments of the owners.
 Students of MSEUF will be keen to buy the products, generating the sufficient sales
to make profit for the long run.
 The owners will continue to produce the product as long as they have customers.

 Owners assume a strong economy, without major recession.

 Owners assume that there are no unforeseen changes in economic policy to make
our clients' products immediately obsolete.

2. Projected statement of comprehensive income

Oreo Balls
Projected Income Statement
March 2019
Revenues P700.00
Cash of goods sold P1400.00
Gross Profit P700.00
Operating Expenses
Commissions P200.00
Marketing Expenses P70.00
Total Operating Expenses P270.00

Net Income P430.00

3. Projected statement of cashflow

Projected Cash Flow Statement

Date 02-8-19 02-11-19 02-16-19 02-19-19 02-20-19 02-26-19
Opening 700 700 700 700 700 700
Balance

Cash In
Sales 980 700 750 500 500 500
Total 980 700 750 500 500 500

Cash out
Materials 305.5 453.5 303 140 257.75 497
Marketing 406 354 714 436 660 378
Total 711.5 807.5 1017 576 917.75 875
Cash Flow 268.5 -107.3 -267 -76 -417.75 -375
Closing 968.5 592.7 433 624 282.25 325
Balance