Scribd
Upload
149 views

Income Statement For 3 Years

The document provides financial information for a company over 3 years from 2023 to 2025. It includes income statements showing revenue, costs, expenses, and profits. It also includes balance sheets showing assets, liabilities, and equity. Some key details: - Revenue comes solely from product sales and increases each year from RM1.11 million in 2023 to RM2.73 million in 2025. - Gross profits also increase each year from RM1.92 million to RM4.90 million over the period. - Expenses remain relatively stable but increase slightly from RM365,948 to RM600,048. - Net profits increase substantially each year from RM1.56 million to RM

Uploaded by

ATticFist
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
149 views

Income Statement For 3 Years

The document provides financial information for a company over 3 years from 2023 to 2025. It includes income statements showing revenue, costs, expenses, and profits. It also includes balance sheets showing assets, liabilities, and equity. Some key details: - Revenue comes solely from product sales and increases each year from RM1.11 million in 2023 to RM2.73 million in 2025. - Gross profits also increase each year from RM1.92 million to RM4.90 million over the period. - Expenses remain relatively stable but increase slightly from RM365,948 to RM600,048. - Net profits increase substantially each year from RM1.56 million to RM

Uploaded by

ATticFist
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 5

Income statement for 3 years

Year 2023 2024 2025


Sales (Rm371X3000unit) Rm1,110,000 (Rm351X4700unit) Rm1,649,700 (Rm341X8000) Rm2,728,000
COST OF GOODS SOLD
Opening Inventory 0 Rm271,000 (1000unit) Rm216,800 (800unit)
Cost Of Production (Rm271X4000unit) Rm1,084,000 (Rm271X4500unit) Rm1,219,500 (Rm271X7800unit) Rm2,113,800
(-) Closing Inventory (Rm271X1000unit) Rm271,000 (Rm271X800unit) Rm216,800 (Rm271X600unit) Rm162,600
Gross Profit Rm1,923,000 Rm2,923,400 Rm4,896,000
(-) Expenses
Rent (Office+Store at KL) (Rm11000X12) Rm132,000 (Rm11000X12) Rm132,000 (Rm11000X12) Rm132,000
Salaries (Office+Store at KL) (Rm1100X10X12) Rm132,000 (Rm1300X18X12) Rm280,000 (Rm1400X22X12) Rm369,600
Insurance (Rm120X12) Rm1440 (Rm120X12) Rm1440 (Rm120X12) Rm1440
Advertisement Rm80,000 Rm75,000 Rm70,000
Postage Rm5000 Rm6500 Rm8000
Utilities Rm7008 Rm8008 Rm9008
Other Expenses Rm8500 Rm9000 Rm10,000
Total Expenses Rm365,948 Rm511,948 Rm600,048
Net Profit Rm1,557,052 Rm2,411,452 Rm4,295,952
Balance sheet for 3 years

YEAR END DECEMBER


2023 2024 2025
NON-CURRENT ASSETS RM RM RM
Machinery 2 Units (40,000) 4 Units (80,000) 6 Units (120,000)
Vehicle (Van) 1 Units (70,000) 2 Units (140,000) 3 Units (210,000)
Factory 300,000 300,000 300,000
TOTAL NON-CURRENT ASSETS 410,000 520,000 630,000
CURRENT ASSETS
Cash In Hand 250,000 450,000 650,000
Cash In Bank 350,000 550,000 750,000
TOTAL CURRENT ASSETS 600,000 1,000,000 1,400,000

TOTAL ASSETS 1,010,000 1,520,000 2,030,000

CURRENT LIABILITIES

TOTAL CURRENT LIABILITIES 0 0 0

NON CURRENT LIABILITIES


Loan 250,000 150,000 50,000
TOTAL NON-CURRENT LIABILITIES 250,000 150,000 50,000
TOTAL LIABILITIES 250,000
OWNER'S EQUITY
Capital Of Five Partners 300,000 300,000 300,000
TOTAL OWNER'S EQUITY 300,000 300,000 300,00
5.0 The Economics of The Business

5.1 Revenue Drivers and Profit Margins

Revenue drivers that our company relies on are 100% on the sale of our products. It is
because we do not provide any service because our company only manufactures innovative
products. Therefore, we do not offer any service that brings profit except after-purchase
service that offers care and protection to customers who buy our products. However, it does
not mean that we are not able to achieve sales profit even though we do not have more than
one revenue driver. It's because we offer products that can be designed by users according to
our customers' tastes. With that, it is one of the advantages that none of our competitors have
in our market. Apart from products that can be designed by our customers, we also offer
ready-made products where the design cannot be changed. It is because not all customers
want products designed by themselves because the tastes of all consumers are different
according to market research. Then, we want to make a collaboration together with another
famous furniture company like IKEA. It's because collaboration products are often well
received, especially collaborations with well-known companies. Therefore, although we
depend 100% on the sale of our products, yet with the diversity we do. It will make us able to
achieve greater profits even with only one revenue driver.

YEARS 1 (RM371X3000unit) Rm1,110,000 - Net Profit Margin


Sales
= Net Income/Net Sales
2023 RM1,557,052 – Net Income X 100
= 8,264,456/5,487,700 X
100
YEARS 2 (Rm351X4700unit) Rm1,649,700 – Net
Sales = 150.60%
2024 RM2,411,452 – Net Income

YEARS 3 (Rm341X8000) Rm2,728,000 – Net Sales


Rm4,295,952 – Net Income
2025
5.2 Fixed and Variable Costs

Fixed Costs

Description RM
Bank Loan 200,000
Salaries For All Employees 369,800
Rent 132,000
Insurance 1,440
Machinery 120,000
Vehicles (Van) 70,000
Total Fixed Cost 839,240

Variable Costs

Description RM
Advertisements 80,000
Raw Material 100,000
Total Variable Cost 180,000

5.3 Start-up Costs

The total start-up cost used by our company is RM500,000. A sum of that value is the capital
issued by all the founders of the company. The amount released by the founder of our
company is RM300,000. In addition, we took out a bank loan to add a little value to our costs.
The total bank loan we obtained from the bank was RM200,000. The purpose of our
borrowing from the bank is because we need a certain amount of money to cover our design.
It's because the design needs a little extra money to make it work. The technology used to
develop our business projects is more complex than other designs already in the market. It is
because we want our innovation to have more advantages compared to other designs. When
our innovation has more advantages compared to other designs in the market, then our
innovation will attract users who are in the market. Furthermore, the market for sophisticated
shoe racks is predicted to be a trend by 2024. So, we want to seize the opportunity and meet
the needs of consumers in the market. Therefore, to make the business project a success. We
need a relatively high amount of capital, in accordance with the technology used by our
company in order to meet the needs of existing users as well as potential users.

You might also like