Papa Geo’s Restaurant essay

The forecast for my budget are as follows:

Item Year1

Year 2

Year 3

Year 4

Year5
Meals

1379700

1462482

1550323

1643223

1741871

Vending machine

197100

208780

221920

235060

251120

Total sales

1576800

1671262

1772243

1878283

1992991

As shown in my budget forecasts, I estimated that during the first year there would be $1.5m in total sales. In the following year, there will be an increase in total sales because of intense advertisements, good customer service, as well as availability of cheap food. In the first year the business would be run by personal funds and it would be expected that it would pick up on its second year of operation.

Assumptions made during budget preparation.

After studying other businesses in the area, rough estimates were made that were used to prepare the budget. These businesses were studied because it is expected that the business run in the same way that these businesses are run.

The budget estimates relate with current market prices and any changes to the prices will be adjusted to +/- 3% of the total estimated costs. The budget also estimates that there will be a steady flow of customers. The budget planner is optimistic that the business will go ahead as planned.

All figures in the spreadsheet are in US dollars. The budget has been modified to deal with changes in the business environment such as competition, changes in the food market etc.

Find more essays at AnyEssays.wordpress.com.

This entry was posted in Essay examples and tagged . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s