Pro-Forma Statement Using the Proforma Income Statement template attached and located in the Course Documents, create your pro-forma income statement for your business plan. This template will have a list of ‘sample’ expenses, however, you will likely need to customize

QUESTION

1. Pro-Forma Statement

Using the Proforma Income Statement template attached and located in the Course Documents, create your pro-forma income statement for your business plan. This template will have a list of ‘sample’ expenses, however, you will likely need to customize the list of expenses for your particular business, so add the expense category that you’ll need and delete those expense categories that you won’t use for your business to clean up your statement.

Income Statement Requirements:

• Common size data listed on Pro-forma statement
• Create a bar chart showing at a minimum:
  • Gross Revenue
  • Gross Profit
  • Net income
• Here is a good video that shows you how to create graphs!

https://www.youtube.com/watch?v=NiqwMM-80II&feature=youtu.be

ANSWER

[Your Name]
[Date]

Pro-Forma Income Statement for [Business Name]

Month/Year: [Enter Month/Year]

Revenue:
Gross Revenue: $__________
[Include a brief description of the revenue sources]

Expenses:
[Customize the expense categories based on your business needs and delete any unused categories]
1. Cost of Goods Sold: $__________
[Include details of the cost of materials or products]

2. Operating Expenses:
– Rent: $__________
– Utilities: $__________
– Salaries and Wages: $__________
– Marketing and Advertising: $__________
– Office Supplies: $__________
– Insurance: $__________
– Maintenance and Repairs: $__________
– Other Expenses: $__________
[Include a brief description of each expense category]

Total Expenses: $__________

Gross Profit: $__________ (Gross Revenue – Cost of Goods Sold)

Net Income: $__________ (Gross Profit – Total Expenses)

Common Size Data:

Revenue: ________% (Gross Revenue / Total Revenue)

Cost of Goods Sold: ________% (Cost of Goods Sold / Gross Revenue)

Operating Expenses: ________% (Total Expenses / Gross Revenue)

Gross Profit Margin: ________% (Gross Profit / Gross Revenue)

Net Profit Margin: ________% (Net Income / Gross Revenue)

Bar Chart:

[Create a bar chart to visually represent the Gross Revenue, Gross Profit, and Net Income]

[Provide a brief analysis of the income statement, discussing the key findings, trends, and factors impacting the financial performance of the business. Explain any notable changes or areas of concern. Assess the overall profitability and financial health of the business based on the income statement.]

Please note that the figures provided above are for illustrative purposes only and should be replaced with the actual financial data for your business. Ensure that all calculations and data are accurate and properly formatted.

Thank you.

Sincerely,

[Your Name]