Erroneous Chapter 2 Practice 7

Erroneous Chapter 2 Practice 7 - $16,500 $18,150 $19,965...

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Financial Forecast - Get Rich Quick Enterprises 2000 2001 2002 2003 2004 2005 Income Units sold 75,000 82,500 90,750 99,825 109,808 120,788 Unit price $2.00 $2.10 $2.21 $2.32 $2.43 $2.55 Gross revenue $150,000 $173,250 $200,104 $231,120 $266,943 $308,320 Overhead Production facility $50,000 $54,000 $58,320 $62,986 $68,024 $73,466 Administration $25,000 $26,250 $27,563 $28,941 $30,388 $31,907 Cost of Goods Sold Unit manufacturing cost $1.00 $1.10 $1.10 $1.10 $1.10 $1.10 Variable manufacturing cost $75,000 $90,750 $99,825 $109,808 $120,788 $132,867 Unit sales cost $0.20 $0.20 $0.20 $0.20 $0.20 $0.20 Variable sales cost $15,000
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Unformatted text preview: $16,500 $18,150 $19,965 $21,962 $24,158 Earnings before taxes $60,000 $76,500 $96,071 $119,229 $146,570 $178,789 Income taxes $21,600 $27,540 $34,586 $42,922 $52,765 $64,364 Net earnings $38,400 $48,960 $61,486 $76,306 $93,805 $114,425 Initial conditions Annual increase First year sales 75,000 10.0% Selling price $2.00 5.0% Unit manufacturing cost $1.00 10.0% Unit sales cost $0.20 0.0% Production facility $50,000 8.0% Administration $25,000 5.0% Tax rate 36% 0.0% First year of forecast 2000...
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This note was uploaded on 08/21/2011 for the course COMP 230 taught by Professor Phil during the Spring '11 term at DeVry NY.

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