Tax (Financial) Impact on Business Activities

[Hints:Address the concepts set forth in this section (a) with reflection on tax advantages (disadvantages) if the company is a sole proprietorship, partnership, limited liability corporation, S-Corporation, or Corporation; (b) with reflection on (i) needs for finance, and (ii) sourcing of finance;(c) with reflection on how ease (lack of ease) to access finance can increase (decrease) operating capacity of the business.

BUSINESS ADMINISTRATION CAPTSTONECoffee Shop BUSINESS PLAN

1.0.ACCOUNTING IMPLICATIONS

Introduction

ACCOUNTING EXPECTATIONS

1.Provide advice on financial/tax implications of the form of business organization [Provide a topic sentence announcing each concept (i.e., finance and tax) and give at least five bulleted sentences to support the concept].

2.Analyze the financial impact of various business activities and alternatives [Provide a topic sentence announcing each concept (i.e., business activities affected) and give at least five bulleted sentences to support the concept]..

1.0.ACCOUNTING IMPLICATIONS (Cont'd)

Budgetary Provisions

[Hints:Address the concepts set forth in this section in accordance with cues in brackets].

Introduction

1.Develop pro forma (budget) financial statements (including income statement, balance sheet, and statement of cash flows.

2.Develop cash receipts and disbursement budget.

3.create any additional reports needed to present a business plan for funding.

1.1. Operating Budget (Pro Forma Income Statement) [Provide brief introductory remarks that describe the contents of the table].

Year

1

2

3

Revenue

100,000

100,000 x (1.05) = 105,000

105,000 x (1.08)

Operating Expenses:

Total expenses

()

()

()

Net Income (Profit)

1.2. Financial Budget (Pro Forma Balance Sheet)[Provide brief introductory remarks that describe contents of the table].

Year

1

2

3

Assets:

Cash

90,000

94,500

102,060

Inventory

Property, Plant, Equipment

Total assets

150,00

Liabilities:

Accounts Payable

Notes Payable

Total liabilities

50,000

Capital:

Personal Contributions

Total Capital

Total liabilities and capital

150,000

1.3. Cash Budget (Cash Collections and Disbursements) [Provide brief introductory remarks that describe the contents of the table].

Year

1

2

3

Cash Collections:

Financial Statements

75,000

Total cash collections

Cash Disbursements:

Inventory

labor

Overhead

Total cash disbursements

()

()

()

Cash balance

Summary

1.Develop pro forma (budget) financial statements (including income statement, balance sheet, and statement of cash flows.

2.Develop cash receipts and disbursement budget.

3.create any additional reports needed to present a business plan for funding.