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, Hi Ankajan, I hope you are having a great day and thank you for helping to agree to analyse the data for Nat. As
, Hi Ankajan, I hope you are having a great day and thank you for helping to agree to analyse the data for Nat. As you know from the briefing earlier, Nat has applied for a loan to help one of his restaurants, Seventy5. The business has been small, but steady for the last eight years, with a dip in profits last year due to increasing costs. Nat has asked us to review his profit & loss statements for the last five years, which I have attached for you. It shows Year 4 to Year 8, with Year 8 being the most recent. He has also been considering taking the restaurant in a new direction and has asked us to review this new business plan to assess how viable it might be. He has provided us with his three-year projected profit & loss statements for Seventy5 as if it were to become an online delivery-only restaurant and no longer have a physical eat-in location. He has projected costs for two delivery-only scenarios: 1. All orders and deliveries through a 3rd-party service. 2. Development of a bespoke website and app to conduct all business and deliveries themselves. To calculate the total costs of these two delivery-only options, add the projected costs to either the 3rd- party service costs or the bespoke service costs. Please note that the marketing costs would be reduced by 50% if using the 3rd-party service. This should be factored into any analysis you conduct. Net profit is calculated as follows: Net profit = Total revenue - Total costs I have also attached a blog by a business owner and entrepreneur, Heidi Stevens, who moved her restaurant to be solely online around 18 months ago. I thought it might provide you with some additional context. I look forward to discussing the results with you next week. Thanks Keisha Kiesha Pickering Assistant Manager BUSINESS BANKING LLOYDS BANKING GROUP Year 1 Year 2 mar 3753.158.00 Projected Revenue 3710000.00 E7240.00 FM " 1202 200 00.00 E206 400.00 $210.945 : cn 1, 4.5.2000 PE00200 36.858.00 2710 NO 20 20 23 NA One 2124 2170 4120 Deereers 1983.00 21222470 If Nat opted into a long term contract with the 3rd party service, and the percentage commission in Year 3 was reduced to 12%, what would the net profit be in Year 3? Pick ore of the options below 49.65.74 +5,258.30 135,65.74 0-2440170 0 70,000.00 2710 NO 20 20 23 NA One 2124 2170 4120 Deereers 1983.00 21222470 If Nat opted into a long term contract with the 3rd party service, and the percentage commission in Year 3 was reduced to 12%, what would the net profit be in Year 3? Pick ore of the options below 49.65.74 +5,258.30 135,65.74 0-2440170 0 70,000.00
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