Statement of Income and Expenses

3-Year Projection

Year 1 Year 2 Year 3

Revenue from SSF Operations

Main Product (Note 1) 1,728,000.00 2,090,880.00 2,927,232.00
Service Income (Note 2) 288,000.00 362,880.00 381,024.00
Total Revenues 2,016,000.00 2,453,760.00 3,308,256.00
Less: Cost of Goods Sold
Direct Materials (Note 3) 704,160.00 801,475.00 1,012,971.17
Direct Labor (Note 4) 89,280.00 89,280.00 111,600.00
Manufacturing Overhead (Note 5) 549,919.00 1,343,359.00 635,479.00 1,526,234.00 737,911.00 1,862,482.17
Gross Profit 672,641.00 927,526.00 1,445,773.83
Less: Selling and Administrative Expense
Office Supplies (Note 6) 927.00 927.00 927.00
Salaries Expense (Note 7) 270,000.00 270,000.00 270,000.00
Advertising Expense (Note 8) 62,200.00 37,320.00 27,990.00
Logistics (Note 9) 32,400.00 365 527.00 32,400.00 340,647.00 32,400.00 331,317.00
Net Revenue/Proceeds 307,114.00 586,879.00 1,114,456.83
 2017 2018 2019
Note 1: Projected Sales Revenue

Estimated Sales Volume 144,000 158,400 221,760

Estimated sales price / pouch 12 13.2 13.2
Sales Revenue 1,728,000.00 2,090,880.00 2,927,232.00

Note 2: Service Income

UHT-EST Pasteurizer 144,000.00 181,440.00 190,512.00

Stand Up Pouch Fill Seal Machine 144,000.00 181,440.00 190,512.00

288,000.00 362,880.00 381,024.00

Total

Note 3: Direct Material

Raw Milk 288,000.00 348,480.00 421,660.80
Cocoa 339,840.00 356,832.00 474,943.39
Sugar 76,320.00 96,163.20 116,366.98

Total 704,160.00 801,475.00 1,012,971.17

Note 4: Direct Labor

1 loader 46,080.00 57,600.00
46,080.00
1 assistant 43,200.00 54,000.00
43,200.00
89,280.00 111,600.00
Total 89,280.00
Note 5: Manufacturing Overhead
Indirect labor 57,600.00 57,600.00 57,600.00
Indirect materials 360,000.00 435,600.00 527,076.00
Utilities Expense 99,600.00 109,560.00 120,516.00
12,000.00
Repairs and Maintenance 12,000.00 12,000.00
Insurance 20,000 20,000.00 20,000.00
Factory Tools and supplies 190.00 190.00 190.00
Maintenance Supplies 529.00 529.00 529.00
Total 549,919.00 635,479.00 737,911.00

Note 6: Office Supplies

Ballpen 72.00 72.00 72.00
Bond Paper 195.00 195.00 195.00
Business Receipts 200.00 200.00 200.00
Calculator 300.00 300.00 300.00
Folder 25.00 25.00 25.00
Pencil 30.00 30.00 30.00
Record Book 72.00 72.00 72.00
Scissors 50.00 50.00 50.00
Stapler 30.00 30.00 30.00
Staple wire 60.00 60.00 60.00
Paper 45.00 45.00 45.00
Total 927.00 927.00 927.00
Note 7: Salaries Expense
Manager 96,000.00 96,000.00 96,000.00

Secretary 72,000.00 72,000.00 72,000.00

Treasurer 72,000.00 72,000.00 72,000.00

Bookkeeper 30,000.00 30,000.00 30,000.00

270,000.00 270,000.00 270,000.00

Total

Note 8: Advertising Expense

Leaflets 1,000.00

Sponsorship 5,000.00

TV guesting and demos 25,000.00

Stickers 1,200.00

Trade fair 30,000.00

Total 62,200.00
37,320.00 27,990.00

Advertising Expense will decrease 40% on the second year, 25% based on the 2018

Note 9: Logistics
Distribution/Transportation Cost 18,000.00 18,000.00 18,000.00

Communication Expense 14,400.00 14,400.00 14,400.00

32,400.00 32,400.00 32,400.00

Total