Reference no: EM132619585

Question - Having established your own business, you identify some of the factors affecting your business.

You have realized that your sales are growing at the rate of 15% per annum.

Your expenses stand at:

Raw materials 15% of sales

Transport 5% of sales

Rent grows by 2% per annum

Advertising & promotion 2.5% of sales

Miscellaneous grows by a fixed amount of 1000 per year

Your sales started at 100,000 for the year 2018.

Rent started at 800/=

Miscellaneous for the first year was 11,200

The year is 2020 when you are making the projections

Required -

a) Given the information above, produce a financial projection for your business for the next 5 years from today.

b) Calculate the expenses, sales and profits for the five years.

c) Produce column charts of the sales, total expenses and profits for the five years.