-
+1 - 312-224-1615
Get in touch with us
-
support@helpwithassignment.com
Send us an e-mail
Solution Library
Business Report of Fashion Clothing and Financial Statements
Question
A group of friends have formed a new business called Fashion Clothing, an online and mailorder clothing business, in which they have invested £200,000 of their own capital. They intend to manufacture and sell quality clothes. They have set up the business and are selling direct to the final consumer, using a combination of aggressive marketing across a range of different media and also with the use of an automated Web site that accepts online orders. To support this, they also have a department of telephone sales and support staff ready to help customers. The sales staff work in teams and receive a basic salary plus commission for each successful sale. By the start of July 20X5, they have spent £150,000 on tangible noncurrent assets, and they currently have the remaining £50,000 in their business bank account.
They provide you with the following forecasted figures for their first 6 months of trading:
|
|
£
|
|
Sales for the next 6 months |
1,350,000
|
|
Cost of the materials used up in sales |
390,000
|
|
Labour costs for the 6 months |
480,000
|
|
Other expenses for the 6 months, including marketing costs and £15,000 depreciation of tangible noncurrent assets
|
345,000
|
|
Materials purchased during the 6 months |
520,000
|
Their projected cash receipts and payments are estimated to be as follows:
|
Month (20X5) |
Sales Receipts |
Payments for Materials |
Labour and Other Expenses |
|
|
£ |
£ |
£ |
|
July |
150,000 |
120,000 |
These payments are divided equally over each of the 6 months |
|
August |
120,000 |
100,000 |
|
|
September |
150,000 |
60,000 |
|
|
October |
210,000 |
60,000 |
|
|
November |
260,000 |
60,000 |
|
|
December |
285,000 |
60,000 |
|
|
Totals |
1,175,000 |
460,000 |
|
In addition to the above, they expect to have to pay a tax bill of £20,000 in December 20X5 and also plan to buy (and pay for) £30,000 additional tangible noncurrent assets in that same month. All transactions will go through their business bank account.
Prepare a Business Report for the friends who have invested in Fashion Clothing, commenting on the business’ prospects and including the following five financial statements.
Summary
This question belongs to finance and discusses about preparing a business report for friends who invested in Fashion clothing.
Word count: 1339
Download Full Solution
WHAT OUR STUDENTS SAY
While I took occasional help for my different assignments from TheReliableTutors, I kept on wondering whether they could actually help with my MBA dissertation paper. When I first approached them, they sounded confident and they already knew what is needed to be done. That was very relieving as even before my professor told me what to be done next, the dissertation expert knew what to do. I have got an “A†in my master’s dissertation report and now I have assigned them by PhD thesis paper also.
Paul Nixon Student
1. When I tell the online accounting assignment help expert what I am looking for from the assignment solution that is exactly what I receive from them. Having the understanding of how the universities and professors work in Singapore is definitely a plus for the online Singapore accounting assignment help experts at HwA.
Jia En Koh Student
Most of my classmates where very relaxed when it was time to deliver our Research Proposal. They don’t perceive it to be important to invest time in selecting the topic. The Research Proposal writer at HwA helped me to understand the importance of choosing simpler and doable topics rather than creating challenges later during the time of conducting the research. Needless to say that I was the only one in the class to get A+ in the Research Proposal and A in the actual Research Paper.
Zhi Jie Student
I wanted to do a dissertation on consumer behaviour but was confused on how to identify a topic and write a report. The dissertation advisors here at TheReliableTutor had an online live session with me and after understanding my requirements they came up with three suggested Research Proposal Writing topics
Eric Gomes Student
After moving to Australia from the UK, I realised that the style of teaching is a bit different and so while pursuing my correspondence course in operations management I needed assistance. Luckily, I bumped into HwA online, who has an excellent pool of Australian operations management experts at their disposal. I got tremendously benefited by them.
Brain Newman Student
Comments
this is a very good website
I have 50 questions for the same test your page is showing only 28
hi can you please help or guide me to answer my assignments. thanks
hi can anyone help or guide me to my assignments. thanks
This solution is perfect ...thanks
Hello Allison,I love the 2nd image that you did! I also, had never heard of SumoPaint, is something that I will have to exolpre a bit! I understand completely the 52 (or so) youtube videos that you probably watched. Sometimes they have what you want, sometimes they don't! However, it is always satisfying when you are able to produce something that you have taught yourself. Great job!Debra 0 likes
Perfect bank of solution.
great !
thanks for the quick response. the solution looks good. :)
thnx for the answer. it was perfect. just the way i wanted it.
works fine.