Case 1

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Green Clean Homes
Purpose To develop a projected income statement for Green Clean Homes

Income Statement

Green Clean Homes
Projected Income Financial Assumptions
Income Gross Sales Projects per Day 12
Gross Sales 305718 Hours per Project 4
Cost of Sales 61143.6 Hourly Charge 29
Gross Profit Annual Working Days 251
Cost of Sales Percent of Gross Sales 20%
Operating Expenses Payroll Hired Cleaners 4
Salaries 112000 Hourly Rate 16
Taxes and Benefits 7280 Hours per Week 35
Employee Insurance 4440 Weeks per Year 50
Overhead 5280 FICA Tax Rate 6.5%
Advertising 2700 Monthly Employee Insurance Owners’ Liability 210
Supplies 9600 Workman’s Comp 160
Lease 3240 Monthly Overhead Telephone 45
Interest 2640 Utilities 320
Total Operating Expenses Internet 75
Monthly Advertising Commercials and Notices 225
Total Operating Profit/Loss Monthly Supplies Cleaning Solutions 350
Income Taxes Rags and Brushes 250
Net Profit/Loss Miscelleanous 200
Lease Monthly Lease 270
Interest Loan Interest 220
Taxes Corporate Tax Rate 31.0%

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