Date: 01/03/2019

Break-Even Analysis

Number of Months 1

CALCULATE YOUR CONTRIBUTION MARGIN

Projected Sales $11,910

Less Variable Expenses

Materials $8,000
Labor
Variable overhead
Other
Contribution Margin $3,910

Contribution Margin Ratio 33%

CALCULATE YOUR FIXED EXPENSES

Fixed Expenses
Salaries and wages $1,200
Rent $2,000
Utilities - fixed portion $200
Repairs and maintenance $0
Insurance $300
Travel $0
Telephone $0
Postage $20
Printing $60
Advertising $30
Marketing/promotion $0
Professional fees $20
Training and development $0
Bank charges $20
Depreciation $0
Miscellaneous $60
Interest income (expense)
Other
Total Fixed Expenses $3,910

Break-Even Sales $11,910

Monthly Break-Even Sales $11,910

Profit During Period $0

Date: 01/03/2019

Wavendon Plumbing: 6-Month Financial Projection

Number of Months 6

CALCULATE YOUR GROSS PROFIT

Projected Sales £75,000

Less Direct Costs

Purchases (material costs) £32,500
Labour Costs £20,000
Gross Profit £22,500

Gross Profit Margin 30%

CALCULATE YOUR OVERHEADS

Indirect Costs
Business Salaries (including your own drawings) £6,000
Rent £2,000
Rates £500
Light/Heating £500
Telephone/Postage £500
Insurance £500
Repairs £2,000
Advertising £1,500
Bank Interest/Hire Purchase £1,500
Other (eg depreciation of fixed assets) £1,500
Overheads £16,500

Break-Even Sales £55,000

Monthly Break-Even Sales £9,167

Profit (for 6 months) £6,000