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The rst month they were only going to be open for two weeks so sales were predicted at $20k, the second month would come in
The rst month they were only going to be open for two weeks so sales were predicted at $20k, the second month would come in at 40k, the remaining months increase at 15% per month with the 12th month sales adjusted to $16?,851 so that the year end sales total $1,000,000 30% GM Monthly Operating Expenses do not need to be broken down, they are $13k Of $85K, $25k should be booked as start-up expenses in the first month on the income statement The remaining start-up expenses of $60k should be booked as PPE on the balance sheet {assume no depreciation) Ignore taxes and depreciation There are no disbursements to owners Assume the beginning inventory of $1.751; was paid for at the time it was received. Assume instant replenishment and hold the inventory constant from month to month (so all 12 months will show $1 TSK in inventory)
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