Professional Documents
Culture Documents
1.1 Objectives
The objectives over the next three years for Markam Driving School (MDS) are the following:
1.2 Mission
The mission of Markam Driving School is to provide high quality, convenient and
comprehensive driver education courses at the lowest cost. The most important aspect of driver
education is SAFETY. It is the goal of Markam Driving School to have graduates of our
programs with the safest driving records of any other competitor in the Pacific Northwest and to
exploit that reputation to create greater market share.
Aggressively pursue contracts with organizations who need our services such as police
departments, high schools and trucking agencies.
Company Summary
Markam Driving School was started by four individuals who saw an untapped potential in the
driver education industry. This potential was in creating a new low cost position while still
being able to compete with the larger companies on quality. This strategy would be created
through strategic alliances and partnerships of local suppliers and buyers. The company has seen
steady growth in a mature market which is a sign of the firm's viable business strategy. The
company has eight investors, the majority of whom are employees of the firm. Markam Driving
School is incorporated in the state of Delaware but is domiciled in Washington state. The
company has achieved revenues of approximately $185,000 and a gross margin of 37%. In
addition, the company has achieved a customer satisfaction rate of 92%.
only the cheapest provider. On the other hand the vast number of smaller companies were not
keeping up with the newest teaching techniques such as computer simulators. Finally, the
Washington department of Transportation had recently begun to outsource many of its services
such as vehicle registration to private firms. This presented a great opportunity to a company
willing to take a few risks. Soon after starting Mr.'s Markam and Harper brought in Jane Wilkes,
a traffic safety analyst, and Ken Thomas, an expert in the writing of training manuals and
procedures.
During the past six years, MDS has shown steady growth, and built a number of crucial
partnerships. The industry usually has very high capital costs due to gas, training equipment, and
vehicle acquisition/repair. The key to low-cost leadership in this field is through special
relationships with suppliers and buyers. In the past, the company has been able to acquire
discounts with such firms as Tesoro Gasoline stations, F & F auto repair, Pullman Printers, etc.
The company has achieved revenues of approximately $746,000 and a gross margin of 67%. In
addition, the company has achieved a customer satisfaction rate of 92%.
Past Performance
Sales
1999
$410,000
2000
$567,000
2001
$746,000
Gross Margin
Gross Margin %
$246,000
60.00%
$340,200
60.00%
$499,820
67.00%
Operating Expenses
$24,000
$24,000
$65,000
1999
2000
2001
$7,512
$5,714
$12,938
Balance Sheet
Current Assets
Cash
$5,000
$12,512
$5,000
$10,714
$2,000
$14,938
Long-term Assets
Long-term Assets
$74,000
$70,000
$74,000
Accumulated Depreciation
Total Long-term Assets
$8,000
$66,000
$10,000
$60,000
$12,000
$62,000
Total Assets
$78,512
$70,714
$76,938
Current Liabilities
Accounts Payable
$4,002
$3,974
$3,716
Current Borrowing
$5,000
Other Current Liabilities (interest free) $0
$0
$0
$0
$0
$9,002
$3,974
$3,716
Long-term Liabilities
Total Liabilities
$35,000
$44,002
$29,000
$32,974
$23,000
$26,716
Paid-in Capital
$30,000
$30,000
$30,000
Retained Earnings
Earnings
Total Capital
$4,510
$0
$34,510
$7,740
$0
$37,740
$20,222
$0
$50,222
$78,512
$70,714
$76,938
30
30
30
Other Inputs
Payment Days
Markam Driving School is presently seeking to find new investors to help offset the expenses of
its planned expansion. The strategy entails a further issuance of 4,000 shares to these new
shareholders.
Services
Markam Driving School offers a wide range of services as outlined in the detailed sections
below. It is ultimately the goal of the company to offer a one-stop facility for all driver needs,
including registration, licensing, etc. In this way the company could offer greater perceived value
for the customer that he or she could use for their entire driving career.
The industry is highly competitive with suppliers having a great deal of power in setting and
negotiating the prices of their products and services to driving schools. In addition, because the
customers see the service as undifferentiated and a "commodity" with little value separation
between competitors, buyer power is also very high, Finally, the barriers to entry are moderately
low, and the large number of competitors in this field, including substitutes (such as in house
training at institutions like high schools), mean that the pricing for such services are very
competitive. The only way to have an advantage in this industry is a low-cost leadership
principal applied aggressively to all aspects of the business.
Markam Driving School hires trained and certified instructors who provide all the teaching
services. In addition, the company has a fleet of ten cars (both manual and automatic
transmission) and five computer simulators that are used to train clients. Each of these pieces of
equipment are maintained regularly and are replaced every few years to keep up with technology
and to provide a high quality look to the company.
The company is preparing plans to launch a new commercial drivers training program that will
provide greater margins that the ordinary operators or driver improvement programs. In addition,
the company is negotiating with the Washington state DOT to have an outreach office placed
within our facilities to provide the one-stop driver "superstore" that management envisions.
Adult evening and noon classes for the busy working individual.
High school programs for school districts that do not have their own in-house services.
Street safe courses.
Court approved defensive driving courses for those people looking to reduce traffic fines.
Brush up courses.
Each course requires that the student purchase their own reading and studying material and can
last up to five weeks for the beginner student. Other courses range from two to four weeks.
Instructors are required to have certain hours of the week made available for student questions
and issues.
3.3 Fulfillment
Markam Driving School hires trained and certified instructors who provide all the teaching
services. In addition, the company has a fleet of ten cars (both manual and automatic
transmission) and five computer simulators that are used to train clients. It is planned that each
facility will have the same number and type of equipment. Each of these pieces of equipment are
maintained regularly and are replaced every few years to keep up with technology and to provide
a high-quality look to the company.
3.4 Technology
The technological revolution in computers has enhanced our abilities to teach. MDS has
remained on the cutting edge by instituting the use of computer simulators and remote Webaccessed study material. The company will continue to seek new ways to provide a better and
more convenient teaching environment through technology. The virtual class room is a thing of
the near future, and we are positioning ourselves to be among the first who will provide such
services.
Beginner drivers.
Adult drivers.
Drivers under court order.
High schools.
Commercial drivers.
Each of these groups are mentioned in more detail in the market segmentation section. Although
MDS does not offer services for commercial drivers just yet, since this will be part of our
business in the future, it is included here.
Each group has different needs based on lifestyle and past driving experience. Many of our adult
drivers are people with tight work schedules who can only devote time for driver education at
lunch hours and in the evenings. They often need brush up courses or defensive driver courses.
For these individuals MDS has compressed courses designed to get the driver back onto the
street quickly but safely.
For our beginner drivers, the majority of whom are teenagers, we offer courses both in the
summertime, after school and AT their school. These course are usually longer, and devote more
time to the mechanics of driving than the adult classes.
Finally, our future commercial drivers segment will require courses that are more technical in
nature, most detailed and last the longest. Furthermore, many of the students will be able to take
the classes during normal working hours. For these students, a more detailed syllabus with the
best instructors is necessary.
Market Analysis
2002
2003
2004
2005
2006
Potential Customers
Beginner drivers (non
teenagers)
Adult drivers
Growth
CAGR
1%
80,000
80,640
81,285
81,935
82,590
0.80%
1%
68,000
68,510
69,024
69,542
70,064
0.75%
2%
3%
300,000
625,000
305,400
642,500
310,897
660,490
316,493
678,984
322,190
697,996
1.80%
2.80%
Commercial drivers
Total
3%
2.28%
40,000
1,113,000
41,280
1,138,330
42,601
1,164,297
43,964
1,190,918
45,371
1,218,211
3.20%
2.28%
As stated elsewhere, MDS's major national competitors are Sears Driver Education Schools and
Defensive Driving, Inc. These companies together hold about 45% market share, while the rest is
taken up by the "mom and pop" outfits.
passing out our literature or providing discounts on our services. Reciprocity is key here and
MDS also provides literature/discounts on its partners to every incoming student. The company
collects testimonials from as many students as possible to use in its campaign. Every three to
six months, depending on the type of media used, or relationship sought, the company reviews
the effectiveness of the promotion tool and determines its viability.
Strategic Alliances
The following table and chart illustrate the projected sales forecast for Markam Driving School.
Sales Forecast
2002
2003
2004
Adult drivers
$223,000
$253,164
$281,012
Beginner drivers
$285,000
$312,075
$346,403
$171,388
$187,670
$208,314
High schools
$324,650
$355,492
$394,596
Commercial drivers
$0
$0
$12,000
Total Sales
2002
2003
2004
Adult drivers
$89,200
$88,607
$95,544
Beginner drivers
$114,000
$109,226
$117,777
$68,555
$65,684
$70,827
Sales
High schools
$129,860
$124,422
$134,163
Commercial drivers
$0
$0
$4,080
$401,615
$387,940
$422,390
Management Summary
MDS has a great management staff that provides comprehensive direction for the company's
day-to-day operations and for its future planning. This included Mr. Markam, the president and
general manager, the marketing executive, Ellen James, William Harper, the company's
controller, and the two individuals responsible for education planning and coordination, Jane
Wilkes and Ken Tomas. Each of these individuals, with the exception of Ms. James, has been
with the company from the beginning and are principal shareholders. The company functions
with a hierarchical structure with each manager heading up a department or section and
answerable to Mr. Markam. Mr. Tomas is responsible for managing each of the individual
educators.
Personnel Plan
2002
2003
2004
$48,000
$48,000
$48,000
Controller
$48,000
$48,000
$48,000
Education Planner
$36,000
$48,000
$48,000
Education Coordinator
$36,000
$48,000
$48,000
Facilities Mangers
$0
$35,000
$35,000
Office Manager
$24,000
$36,000
$36,000
$15,000
$15,000
Educators
$128,500
$180,000
$250,000
Total People
15
20
26
Total Payroll
$335,500
$458,000
$528,000
Financial Plan
The following subsections outline the financial plan for Markam Driving School.
Break-even Analysis
Assumptions:
Average Percent Variable Cost 40%
Estimated Monthly Fixed Cost $44,452
2003
2004
Sales
$1,004,038
$1,108,401
$1,242,325
$401,615
$387,940
$422,390
$0
$0
$0
$401,615
$387,940
$422,390
Gross Margin
$602,423
$720,460
$819,934
Gross Margin %
60.00%
65.00%
66.00%
$335,500
$458,000
$528,000
$58,000
$66,000
Expenses
Payroll
Depreciation
$3,200
$5,000
$5,000
Leased Equipment
$22,000
$16,000
$10,000
Utilities
$4,600
$8,000
$8,000
Insurance
$13,800
$14,400
$14,400
Rent
$52,000
$72,000
$72,000
Payroll Taxes
$50,325
$68,700
$79,200
Other
$0
$0
$0
$533,425
$700,100
$782,600
$68,998
$20,360
$37,334
EBITDA
$72,198
$25,360
$42,334
Interest Expense
$1,975
$1,400
$800
Taxes Incurred
$20,107
$5,688
$10,960
Net Profit
$46,916
$13,272
$25,574
Net Profit/Sales
4.67%
1.20%
2.06%
2003
2004
Cash Sales
$1,004,038
$1,108,401
$1,242,325
$1,004,038
$1,108,401
$1,242,325
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Cash Received
$0
$0
$0
$0
$0
$0
$0
$0
$0
$1,004,038
$1,108,401
$1,242,325
Expenditures
2002
2003
2004
Cash Spending
$335,500
$458,000
$528,000
Bill Payments
$554,858
$647,453
$679,508
$890,358
$1,105,453
$1,207,508
$0
$0
$0
$0
$0
$0
$0
$6,000
$6,000
$0
$0
$0
$0
$0
$0
Dividends
$0
$40,000
$40,000
$896,358
$1,151,453
$1,253,508
$107,680
($43,052)
($11,183)
Cash Balance
$120,618
$77,566
$66,383
$0
2003
2004
Assets
Current Assets
Cash
$120,618 $77,566
$66,383
$2,000
$2,000
$122,618 $79,566
$68,383
$74,000
$74,000
$74,000
$20,200
$25,200
$58,800
$53,800
$48,800
Total Assets
2002
2003
2004
Accounts Payable
$67,280
$51,956
$56,199
Current Borrowing
$0
$0
$0
$0
$0
$0
$51,956
$56,199
$2,000
Long-term Assets
Long-term Assets
Current Liabilities
Long-term Liabilities
$17,000
$11,000
$5,000
Total Liabilities
$84,280
$62,956
$61,199
Paid-in Capital
$30,000
$30,000
$30,000
Retained Earnings
$20,222
$27,138
$410
Earnings
$46,916
$13,272
$25,574
Total Capital
$97,138
$70,410
$55,984
Net Worth
$97,138
$70,410
$55,984
Ratio Analysis
2002
2003
2004
Industry Profile
34.59%
10.39%
12.08%
9.50%
1.10%
1.50%
1.71%
44.20%
67.59%
59.66%
58.36%
70.80%
Long-term Assets
32.41%
40.34%
41.64%
29.20%
Total Assets
100.00%
100.00%
100.00%
100.00%
Sales Growth
Current Liabilities
37.09%
38.96%
47.96%
52.10%
Long-term Liabilities
9.37%
8.25%
4.27%
12.40%
Total Liabilities
46.46%
47.21%
52.22%
64.50%
Net Worth
53.54%
52.79%
47.78%
35.50%
Sales
100.00%
100.00%
100.00%
100.00%
Gross Margin
60.00%
65.00%
66.00%
55.33%
63.80%
63.94%
74.00%
Advertising Expenses
1.54%
2.26%
2.82%
4.60%
6.87%
1.84%
3.01%
2.40%
Current
1.82
1.53
1.22
1.30
Quick
1.82
1.53
1.22
1.08
46.46%
47.21%
52.22%
64.50%
69.00%
26.93%
65.26%
4.60%
36.94%
14.22%
31.18%
13.00%
Additional Ratios
2002
2003
2004
4.67%
1.20%
2.06%
n.a
Return on Equity
48.30%
18.85%
45.68%
n.a
Percent of Sales
n.a
Main Ratios
Activity Ratios
9.19
12.17
12.17
n.a
Payment Days
27
34
29
n.a
5.53
8.31
10.60
n.a
0.87
0.89
1.09
n.a
0.80
0.83
0.92
n.a
$55,338
$27,610
$12,184
n.a
Interest Coverage
34.94
14.54
46.67
n.a
Assets to Sales
0.18
0.12
0.09
n.a
37%
39%
48%
n.a
Acid Test
1.82
1.53
1.22
n.a
Sales/Net Worth
10.34
15.74
22.19
n.a
Dividend Payout
0.00
3.01
1.56
n.a
Debt Ratios
Liquidity Ratios
Additional Ratios
Appendix
Sales Forecast
Jan
Sales
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Adult drivers
0%
$14,000
$14,000
$14,000
$14,000
$14,000
$20,000
$20,000
$20,000
$24,000
$25,000
$21,000
$23,000
Beginner drivers
0%
$18,000
$18,000
$18,000
$18,000
$18,000
$24,000
$24,000
$24,000
$28,000
$26,000
$33,000
$36,000
0%
$11,500
$11,500
$11,500
$11,500
$11,500
$14,000
$14,000
$14,000
$17,000
$18,000
$18,888
$18,000
High schools
0%
$20,850
$20,850
$20,850
$20,850
$20,850
$25,000
$25,000
$25,000
$41,700
$41,700
$31,000
$31,000
Commercial drivers
0%
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Total Sales
$64,350
$64,350
$64,350
$64,350
$64,350
$83,000
$83,000
$83,000
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Adult drivers
$5,600
$5,600
$5,600
$5,600
$5,600
$8,000
$8,000
$8,000
$9,600
$10,000
$8,400
$9,200
Beginner drivers
$7,200
$7,200
$7,200
$7,200
$7,200
$9,600
$9,600
$9,600
$11,200
$10,400
$13,200
$14,400
$4,600
$4,600
$4,600
$4,600
$4,600
$5,600
$5,600
$5,600
$6,800
$7,200
$7,555
$7,200
High schools
$8,340
$8,340
$8,340
$8,340
$8,340
$10,000
$10,000
$10,000
$16,680
$16,680
$12,400
$12,400
Commercial drivers
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$25,740
$25,740
$25,740
$25,740
$25,740
$33,200
$33,200
$33,200
$44,280
$44,280
$41,555
$43,200
Personnel Plan
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
0%
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
Controller
0%
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
Education Planner
0%
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
Education Coordinator
0%
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
Facilities Mangers
0%
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Office Manager
0%
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
0%
$1,250
$1,250
$1,250
$1,250
$1,250
$1,250
$1,250
$1,250
$1,250
$1,250
$1,250
$1,250
Educators
0%
$7,500
$7,500
$7,500
$7,500
$7,500
$13,000
$13,000
$13,000
$13,000
$13,000
$13,000
$13,000
Total People
11
11
11
11
11
15
15
15
15
15
15
15
Total Payroll
$24,750
$24,750
$24,750
$24,750
$24,750
$30,250
$30,250
$30,250
$30,250
$30,250
$30,250
$30,250
General Assumptions
Jan
Plan Month
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
10
Dec
11
12
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
Long-term Interest
Rate
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
10.00%
Tax Rate
30.00%
30.00%
30.00%
30.00%
30.00%
30.00%
30.00%
30.00%
30.00%
30.00%
30.00%
30.00%
Other
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Sales
$64,350
$64,350
$64,350
$64,350
$64,350
$83,000
$83,000
$83,000
$110,700
$110,700
$103,888
$108,000
$25,740
$25,740
$25,740
$25,740
$25,740
$33,200
$33,200
$33,200
$44,280
$44,280
$41,555
$43,200
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$25,740
$25,740
$25,740
$25,740
$25,740
$33,200
$33,200
$33,200
$44,280
$44,280
$41,555
$43,200
Gross Margin
$38,610
$38,610
$38,610
$38,610
$38,610
$49,800
$49,800
$49,800
$66,420
$66,420
$62,333
$64,800
Gross Margin %
60.00%
60.00%
60.00%
60.00%
60.00%
60.00%
60.00%
60.00%
60.00%
60.00%
60.00%
60.00%
Payroll
$24,750
$24,750
$24,750
$24,750
$24,750
$30,250
$30,250
$30,250
$30,250
$30,250
$30,250
$30,250
$2,900
$2,900
$2,900
$2,900
$2,900
$4,500
$4,500
$4,500
$6,000
$6,000
$6,000
$6,000
Depreciation
$200
$200
$200
$200
$200
$200
$200
$200
$400
$400
$400
$400
Leased Equipment
$0
$0
$0
$0
$0
$2,000
$2,000
$2,000
$4,000
$4,000
$4,000
$4,000
Utilities
$200
$200
$200
$200
$200
$400
$400
$400
$600
$600
$600
$600
Insurance
$600
$600
$600
$600
$600
$1,200
$1,200
$1,200
$1,800
$1,800
$1,800
$1,800
Rent
$2,000
$2,000
$4,000
$4,000
$4,000
$4,000
$4,000
$4,000
$6,000
$6,000
$6,000
$6,000
$3,713
$3,713
$3,713
$3,713
$3,713
$4,538
$4,538
$4,538
$4,538
$4,538
$4,538
$4,538
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Expenses
Payroll Taxes
Other
15%
$34,363
$34,363
$36,363
$36,363
$36,363
$47,088
$47,088
$47,088
$53,588
$53,588
$53,588
$53,588
$4,248
$4,248
$2,248
$2,248
$2,248
$2,713
$2,713
$2,713
$12,833
$12,833
$8,745
$11,213
EBITDA
$4,448
$4,448
$2,448
$2,448
$2,448
$2,913
$2,913
$2,913
$13,233
$13,233
$9,145
$11,613
Interest Expense
$188
$183
$179
$175
$171
$167
$163
$158
$154
$150
$146
$142
Taxes Incurred
$1,218
$1,219
$621
$622
$623
$764
$765
$766
$3,804
$3,805
$2,580
$3,321
Net Profit
$2,842
$2,845
$1,448
$1,451
$1,454
$1,782
$1,785
$1,788
$8,875
$8,878
$6,020
$7,750
Net Profit/Sales
4.42%
4.42%
2.25%
2.25%
2.26%
2.15%
2.15%
2.15%
8.02%
8.02%
5.79%
7.18%
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Cash Sales
$64,350
$64,350
$64,350
$64,350
$64,350
$83,000
$83,000
$83,000
$110,700
$110,700
$103,888
$108,000
$64,350
$64,350
$64,350
$64,350
$64,350
$83,000
$83,000
$83,000
$110,700
$110,700
$103,888
$108,000
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$64,350
$64,350
$64,350
$64,350
$64,350
$83,000
$83,000
$83,000
$110,700
$110,700
$103,888
$108,000
Expenditures
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Cash Received
0.00%
Cash Spending
$24,750
$24,750
$24,750
$24,750
$24,750
$30,250
$30,250
$30,250
$30,250
$30,250
$30,250
$30,250
Bill Payments
$4,935
$36,558
$36,602
$37,952
$37,949
$38,374
$50,768
$50,765
$51,443
$71,175
$71,040
$67,298
$29,685
$61,308
$61,352
$62,702
$62,699
$68,624
$81,018
$81,015
$81,693
$101,425
$101,290
$97,548
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$500
$500
$500
$500
$500
$500
$500
$500
$500
$500
$500
$500
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Dividends
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$30,185
$61,808
$61,852
$63,202
$63,199
$69,124
$81,518
$81,515
$82,193
$101,925
$101,790
$98,048
$34,165
$2,542
$2,498
$1,148
$1,151
$13,876
$1,482
$1,485
$28,507
$8,775
$2,098
$9,952
Cash Balance
$47,103
$49,645
$52,144
$53,292
$54,443
$68,319
$69,801
$71,286
$99,794
$108,569
$110,666
$120,618
Assets
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Starting Balances
Current Assets
Cash
$12,938
$47,103
$49,645
$52,144
$53,292
$54,443
$68,319
$69,801
$71,286
$99,794
$108,569
$110,666
$120,618
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$2,000
$14,938
$49,103
$51,645
$54,144
$55,292
$56,443
$70,319
$71,801
$73,286
$101,794
$110,569
$112,666
$122,618
Long-term Assets
Long-term Assets
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
$74,000
Accumulated Depreciation
$12,000
$12,200
$12,400
$12,600
$12,800
$13,000
$13,200
$13,400
$13,600
$14,000
$14,400
$14,800
$15,200
$62,000
$61,800
$61,600
$61,400
$61,200
$61,000
$60,800
$60,600
$60,400
$60,000
$59,600
$59,200
$58,800
Total Assets
$76,938
$110,903
$113,245
$115,544
$116,492
$117,443
$131,119
$132,401
$133,686
$161,794
$170,169
$171,866
$181,418
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Current Liabilities
Accounts Payable
$3,716
$35,339
$35,337
$36,687
$36,684
$36,681
$49,076
$49,073
$49,070
$68,803
$68,800
$64,978
$67,280
Current Borrowing
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$3,716
$35,339
$35,337
$36,687
$36,684
$36,681
$49,076
$49,073
$49,070
$68,803
$68,800
$64,978
$67,280
Long-term Liabilities
$23,000
$22,500
$22,000
$21,500
$21,000
$20,500
$20,000
$19,500
$19,000
$18,500
$18,000
$17,500
$17,000
Total Liabilities
$26,716
$57,839
$57,337
$58,187
$57,684
$57,181
$69,076
$68,573
$68,070
$87,303
$86,800
$82,478
$84,280
Paid-in Capital
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
$30,000
Retained Earnings
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
$20,222
Earnings
$0
$2,842
$5,687
$7,135
$8,586
$10,039
$11,821
$13,606
$15,394
$24,269
$33,147
$39,166
$46,916
Total Capital
$50,222
$53,064
$55,909
$57,357
$58,808
$60,261
$62,043
$63,828
$65,616
$74,491
$83,369
$89,388
$97,138
$76,938
$110,903
$113,245
$115,544
$116,492
$117,443
$131,119
$132,401
$133,686
$161,794
$170,169
$171,866
$181,418
Net Worth
$50,222
$53,064
$55,909
$57,357
$58,808
$60,261
$62,043
$63,828
$65,616
$74,491
$83,369
$89,388
$97,138