INCOME STATEMENT

Sales: 750 000

Less: COGS 319 900

GROSS PROFIT 430 100

Less: Operating Expense

Selling Expense 2 160

Rent Expense 36 000

Wage Expense 187 500

Utilities Expense 15 800

Maintenance Expense 19 745

Advertising Expense 1 500

Depreciation Expense

Oven 2 700

Motorcycle 6 360

Refrigerator 2 250

TOTAL OPERATING EXPENSE (274, 015)

OPERATING PROFIT 156 085

Less: Interest Expense 3 750

NET PROFIT BEFORE TAX 152 335

Less: Tax (30%) 45 700.5

NET PROFIT AFTER TAX 106 634.5

EARNINGS PER SHARE 11, 848.28

CASH FLOW FROM OPERATING ACTIVITIES

Cash collected from customers 543 300

Cash paid to suppliers & employees (187 500)

Cash paid for repairs & maintenance of equipment (19 745)

Cash payment for electricity and water bills (15 800)

Cash paid for interest (3 750)

Cash paid for taxes (45 700.5)

Net Cash Provided by Operating Activities 270 804.5

CASH FLOW FROM INVESTING ACTIVITIES

Cash paid to purchase manufacturing

equipment & machineries (85 000)

Net Cash Provided by Investing Activities (85 000)

CASH FLOW FROM FINANCING ACTIVITIES

Cash received from bank loans 250 000

Net Cash Provided by Financing Activities 250 000

Net increase/decrease in cash during the year 435 804.5

Cash at Beginning of Year 37 850

Cash at End of Year 473 654.5

Assets

Cash 473 654.5

Accounts receivable 138 285

Inventories 12 650

TOTAL CURRENT ASSETS 624 589.5

Non-current Asset

Machinery and Equipment 50 000

Vehicles 35 000

Less: Accumulated Depreciation (11 310)

NET FIXED ASSETS 73 690

TOTAL ASSETS 698 279.5

Liability

Accounts payable 138 610.5

Notes payable 48 600

Total Current Liabilities 187 210.5

Long term debt

Loans Payable 250 000

TOTAL LIABILITIES 437 210.5

Retained Earnings 154 434.5

Share of partners 106 634.5

TOTAL EQUITY 261 069

TOTAL LIABILITIES AND EQUITY 698 279.5