BUSINESS CASE 100 points) After having taken MM a friend of yours is planning to open a cafeteria is a well-known Pyrenees resort in order to prepare the forecasted francial expenses for a potential investor he has asked you some help in order to double check the financial statements of the business The cafeteria would only be opened for months (180 day starting the 1" of November and until the son of April, so you must consider all the francial statements on a semester basis. Expected sales in average - Breakfastserved: 25 breakfast per day at anwege price of 10th - Lunch: So breakfast per day man were price of 200 each - Coffee: 1.000 ups per month at each - Sandwiches estimated 1.000 per month at anvere price of 4C - Southeastmated 375 per month anwege price of During the session, the cafeteria will host private events for spec t of the resort * New Year's dinner party consisting in 100 mest 100 Includes dinner and open barl, with an expected margin of 40%, which will be collected 30 days after its celebration ( nary Easter's special lunch consisting in 100 stoc with an expected of so, which will be collected 30 days after sceleration lend May Additionally, there will be extra revenues by sing souve posted and fridge magnets. The forecast to sell equivalent of the 10% of the total revenues (excluding the rate events. The cost of the souvenir is barely the 10 of its price with collecting payment conditions being the same as the rest of the cafeteria products The direct cost of the ingredients of every odbye Breakfast: 30% ch: 35 Coffee: 20% - Sandwiches SON -Soup: 255 The costs related to the goods sodood beverages, special events, souvenirs will be pain average oda i consumption You expect to have a stable headcount of the following positions - Waters , with gra y of 1000 monthly during the months to use of Social Security taxes Cooker 2 persons with a posary of 2.000 per month only on the months season plus as of Social Security as Biness manager with oury of Oper month which appea r of Social Security taxes Salaries will be ad at the end of the month we stases en t ry and quarter. Comotion of water power and that are expected to 3000 o n ce the payment is usually in 60 days the end of the season 1/of the utiles wel remain und As part of the agreement with the resort cafeter have to locate and pay areaty of an event of the son of the totalmente revenues to be pad the month after the season and Additionally, the cated that other generale m cleanine Lichen tool, wamount of the rest of the paid within the season period The tane have to on d er to purchase o nece s for the operation, as chairs, tables, shelve s an oven and cutlery Al Additionally. It has been calculated that other general expenses, as alarms, cleaning, kitchen tools, etc. will amount a 3x of the revenues, all of them psd with the season period. The cafeteria will have to invest 60,000C in order to purchase some necessary assets for the operation, as chairs, tables, shelves, a fridge, an oven and cutlery. Al those elements will be sold after the season at a 50% of its price value. All of them are expected to be paid during the first 3 months, while the collection of the end-season sale will be expected 60 days after the closing. with the purpose to face the initial investment payment for the assets acquired, contemplate to get a bank loan with a 6 months maturity,repaid (principal plus Interests) on the 30 April with a 6% annual compound interest rate. Consider that som of the total revenues (including souvenirs and special events) are paid with credit card which results in a 1,5% financial cost for the cafeteria The rest is being paid upfront. Estimated tax provision is 25%, to be paid 60 days after the closing balance of the season. The Balance sheet at the beginning of the period (1" November) only contained 10.000 of Cash and 10.000 of Capital stock. 1. Please elaborate the 2021-22 semester (Nov-April) Income statement and Cash-Flow Statement, showing in this case the standard categories (Operational, Investing Financial). Also complete the 31 April 2022 Balance Sheet and identify in it the differences between the Net Income and the Free Cash-Flow of the period. Comment all the results shown. (85 points: 25pts 15, 25pts CF. 25pts 35 and 10pts for explaining and showing the differences) 2. If you were a potential investor what aspects would, you consider according the financial information seen above. Does the fact of being seasonal business would affect your decision on investing or not? If the forecast was contemplatine. 12 months rather than 6 would the financial chance Duplain (15 points) BUSINESS CASE postal After having taken MBA friend of yours is planning to open a cafeteria in a well-known Pyrenees mort, order to prepare the forected brand expenses for potential Inwestor he has asked you some help in order to dele check the fancial statements of the business The after woonly be opened for months 180 dpl sering the 1 of November and until the 30 of April, so you must consider alle financial statements on a semester best Expected sales interne - Breakfastserved: 25 breakfast per day reproof 10 each - Lunch breakfast per day at an Werge price of tech - Coffee 3.000 cups per month 2 each - Sandwiches estimated 1.000 per month ata were price of - Soups e d 375 per month at ang price of During the season, the cafeteria wil best private events for special guests of the part New Year's dinner party coming in 100 m s 100 includes dinner and open bar with expected days after brution 10 January Easter's special lunch coating in manus to with spectadan of which will becomedo of 40, which will be collected 30 r isbiend Mod Additionally, there will be extra revenues by wing souvenirs as postcards and fridge magnet. The forecast revenues excluding the private events. The cost of the souvenirs barely the ton of its price with collecting the cafeteria products. went of the 10% of the total conditions in the same as the rest of The direct cost of the ingredients of every meal or food/beverage served Breakfast 30 - Lunch 35 - Coll: 20% - Sandwiches son il pe pa p e days after its consumption The costs related to the goods sold food , peale You expect to have a stable headcount of the role positions - Water persons with a grossalary of 1 COC per month only during the months s ont plus of Social Security - Cooker: 2 persons with a grossary of 2.000 per month only during the months a f Social Security taxes - Business manager with a grossalary of 5.000 per more which aples for all year plus of Social Security taxes Salaries will be paid at the end of the month while Consumption of water, power and heat are expected to utities wilman unpaid the end of every calendar cuarter cool per month Since the payment is in 60 days, at the end of the season 1/3 of the As part of ment with the ski resort, cafeteris will have to guidate d a rovity of an equivalent of the 10% of the total semester revenues to be paid the month after the season endi Additional has been calculated that other general experien , cleaning the tools, etc. will amount of the revenues, all of the paid within the season period The cafeterte wil have to invest 60,000 in order to purchase o necessary assets for the operation, as chairs, tables, shelves, a fridge, an oven and very. Al those elements will be sold after the Mason at a 50% of its price value of them are expected to be paid during the first months, while the collection of the BUSINESS CASE for e of the the you something to double check the fac only be one or months 1 days are the other and The o the n e und S pordy c e of 20 each The direct cof f ee me r veis as following love price Sandwiches You spect to have a stable headcount of the following positions ww w tho ry of 1000 Cooler person who say of 2000 per month Business manager with a grow S of c only during the months agus ao of Social Security during the month s of Social Security holes for all years of Social Security Salaries will be paid at the end of the month while Comotion of water power and heat expected to at the end of every calendar care 000 per mo m ents in de the end of the was 1/3 of the an y one of the othe r to be As part of them with the s tart will have to pard the mother the end Additionally. It has been calculated that other generale , a the period rms, cleaning the tools will amount of the of them with ne to be of them are due to the cements will be the and will be expected the o the closing othe other with a comunitat The front The chest the beginning of the period ember n ed 10.000 Cash and 10.000 BUSINESS CASE 100 points) After having taken MM a friend of yours is planning to open a cafeteria is a well-known Pyrenees resort in order to prepare the forecasted francial expenses for a potential investor he has asked you some help in order to double check the financial statements of the business The cafeteria would only be opened for months (180 day starting the 1" of November and until the son of April, so you must consider all the francial statements on a semester basis. Expected sales in average - Breakfastserved: 25 breakfast per day at anwege price of 10th - Lunch: So breakfast per day man were price of 200 each - Coffee: 1.000 ups per month at each - Sandwiches estimated 1.000 per month at anvere price of 4C - Southeastmated 375 per month anwege price of During the session, the cafeteria will host private events for spec t of the resort * New Year's dinner party consisting in 100 mest 100 Includes dinner and open barl, with an expected margin of 40%, which will be collected 30 days after its celebration ( nary Easter's special lunch consisting in 100 stoc with an expected of so, which will be collected 30 days after sceleration lend May Additionally, there will be extra revenues by sing souve posted and fridge magnets. The forecast to sell equivalent of the 10% of the total revenues (excluding the rate events. The cost of the souvenir is barely the 10 of its price with collecting payment conditions being the same as the rest of the cafeteria products The direct cost of the ingredients of every odbye Breakfast: 30% ch: 35 Coffee: 20% - Sandwiches SON -Soup: 255 The costs related to the goods sodood beverages, special events, souvenirs will be pain average oda i consumption You expect to have a stable headcount of the following positions - Waters , with gra y of 1000 monthly during the months to use of Social Security taxes Cooker 2 persons with a posary of 2.000 per month only on the months season plus as of Social Security as Biness manager with oury of Oper month which appea r of Social Security taxes Salaries will be ad at the end of the month we stases en t ry and quarter. Comotion of water power and that are expected to 3000 o n ce the payment is usually in 60 days the end of the season 1/of the utiles wel remain und As part of the agreement with the resort cafeter have to locate and pay areaty of an event of the son of the totalmente revenues to be pad the month after the season and Additionally, the cated that other generale m cleanine Lichen tool, wamount of the rest of the paid within the season period The tane have to on d er to purchase o nece s for the operation, as chairs, tables, shelve s an oven and cutlery Al Additionally. It has been calculated that other general expenses, as alarms, cleaning, kitchen tools, etc. will amount a 3x of the revenues, all of them psd with the season period. The cafeteria will have to invest 60,000C in order to purchase some necessary assets for the operation, as chairs, tables, shelves, a fridge, an oven and cutlery. Al those elements will be sold after the season at a 50% of its price value. All of them are expected to be paid during the first 3 months, while the collection of the end-season sale will be expected 60 days after the closing. with the purpose to face the initial investment payment for the assets acquired, contemplate to get a bank loan with a 6 months maturity,repaid (principal plus Interests) on the 30 April with a 6% annual compound interest rate. Consider that som of the total revenues (including souvenirs and special events) are paid with credit card which results in a 1,5% financial cost for the cafeteria The rest is being paid upfront. Estimated tax provision is 25%, to be paid 60 days after the closing balance of the season. The Balance sheet at the beginning of the period (1" November) only contained 10.000 of Cash and 10.000 of Capital stock. 1. Please elaborate the 2021-22 semester (Nov-April) Income statement and Cash-Flow Statement, showing in this case the standard categories (Operational, Investing Financial). Also complete the 31 April 2022 Balance Sheet and identify in it the differences between the Net Income and the Free Cash-Flow of the period. Comment all the results shown. (85 points: 25pts 15, 25pts CF. 25pts 35 and 10pts for explaining and showing the differences) 2. If you were a potential investor what aspects would, you consider according the financial information seen above. Does the fact of being seasonal business would affect your decision on investing or not? If the forecast was contemplatine. 12 months rather than 6 would the financial chance Duplain (15 points) BUSINESS CASE postal After having taken MBA friend of yours is planning to open a cafeteria in a well-known Pyrenees mort, order to prepare the forected brand expenses for potential Inwestor he has asked you some help in order to dele check the fancial statements of the business The after woonly be opened for months 180 dpl sering the 1 of November and until the 30 of April, so you must consider alle financial statements on a semester best Expected sales interne - Breakfastserved: 25 breakfast per day reproof 10 each - Lunch breakfast per day at an Werge price of tech - Coffee 3.000 cups per month 2 each - Sandwiches estimated 1.000 per month ata were price of - Soups e d 375 per month at ang price of During the season, the cafeteria wil best private events for special guests of the part New Year's dinner party coming in 100 m s 100 includes dinner and open bar with expected days after brution 10 January Easter's special lunch coating in manus to with spectadan of which will becomedo of 40, which will be collected 30 r isbiend Mod Additionally, there will be extra revenues by wing souvenirs as postcards and fridge magnet. The forecast revenues excluding the private events. The cost of the souvenirs barely the ton of its price with collecting the cafeteria products. went of the 10% of the total conditions in the same as the rest of The direct cost of the ingredients of every meal or food/beverage served Breakfast 30 - Lunch 35 - Coll: 20% - Sandwiches son il pe pa p e days after its consumption The costs related to the goods sold food , peale You expect to have a stable headcount of the role positions - Water persons with a grossalary of 1 COC per month only during the months s ont plus of Social Security - Cooker: 2 persons with a grossary of 2.000 per month only during the months a f Social Security taxes - Business manager with a grossalary of 5.000 per more which aples for all year plus of Social Security taxes Salaries will be paid at the end of the month while Consumption of water, power and heat are expected to utities wilman unpaid the end of every calendar cuarter cool per month Since the payment is in 60 days, at the end of the season 1/3 of the As part of ment with the ski resort, cafeteris will have to guidate d a rovity of an equivalent of the 10% of the total semester revenues to be paid the month after the season endi Additional has been calculated that other general experien , cleaning the tools, etc. will amount of the revenues, all of the paid within the season period The cafeterte wil have to invest 60,000 in order to purchase o necessary assets for the operation, as chairs, tables, shelves, a fridge, an oven and very. Al those elements will be sold after the Mason at a 50% of its price value of them are expected to be paid during the first months, while the collection of the BUSINESS CASE for e of the the you something to double check the fac only be one or months 1 days are the other and The o the n e und S pordy c e of 20 each The direct cof f ee me r veis as following love price Sandwiches You spect to have a stable headcount of the following positions ww w tho ry of 1000 Cooler person who say of 2000 per month Business manager with a grow S of c only during the months agus ao of Social Security during the month s of Social Security holes for all years of Social Security Salaries will be paid at the end of the month while Comotion of water power and heat expected to at the end of every calendar care 000 per mo m ents in de the end of the was 1/3 of the an y one of the othe r to be As part of them with the s tart will have to pard the mother the end Additionally. It has been calculated that other generale , a the period rms, cleaning the tools will amount of the of them with ne to be of them are due to the cements will be the and will be expected the o the closing othe other with a comunitat The front The chest the beginning of the period ember n ed 10.000 Cash and 10.000