Budget Report Review Review the Profit and Loss Report attached…
QuestionAnswered step-by-stepBudget Report Review Review the Profit and Loss Report attached…Budget Report Review Review the Profit and Loss Report attached belowAnalyse and review the information – then provide detailed answers.Type or Section of Plan Profit and Loss1. Is the cost of sales worth keeping the lines open?Discuss the profit or loss this is causing and what recommendations you would make. .2. Review all of the figures – are the total calculations correct ?Identify any errors you can locate 3. Has the increased cost in advertising had any impact on profit?Give details: 4. Review the operating expenses and outline figures that have altered and in what way 5. Overall, what is your opinion on the Net Profit/Loss final figures for the organisation.Answer briefly Cairns Year 20X1 Year 20X2Sales Casual Attendance 53,100 53,100Memberships 241,000 241,000Equipment and Clothing 29,000 29,000Total Sales $ 323,100 $ 323,435 Direct Cost of Sales 8,700 8,874Equipment and ClothingTotal Cost of Sales $ 8,700 $ 8,874 Gross Margin $ 314,400 $ 314,561Gross Margin % 97% 97% Operating Expenses Advertising 117,000 134,550Bank Service Charges 6,000 6,000Credit Card Fees 3,000 3,003Insurances 12,000 12,000Miscellaneous 2,400 2,402Head Office Contribution – -Payroll 195,000 204,750Team Building 15,500 17,050Professional Fees 20,000 20,000Rent or Lease 48,000 48,000Subscription & Dues 3,000 3,000Supplies 30,000 28,500Taxes & Licenses 2,400 2,400Utilities and Telephone 9,500 9,975Equipment Leases 12,000 12,000Maintenance 11,800 11,800Total Operating Expenses $ 487,600 $ 515,431 Profit before Interest and Taxes (EBIT) $ (173,200) $ (200,870) Interest – -Corporate Taxes – – Net Profit (or Net Income) $ (173,200) $ (200,870) Engineering & TechnologyIndustrial EngineeringOperations ManagementBUSINESS BSBFIN501Share Question
