Quote:
Originally Posted by UpperPeninsulaRon
Let's take a look at the first year income statement for option two. I assume what you call gross income is revenue.
ABC Vending Corporation
Revenues 40,000
Cost of Goods Sold 28,000 (assume 70%)
Gross Profit 12,000
less operating expenses
Loan payment on equipment 6,000
Vehicle expenses incl depn (.55/mile) 11,000
Owners salary ZERO
Business insurance 1,000
Telephone 900
Computer expense 900
Many other expenses ?
Net Income/(Loss) Before Taxes $(7,800)
Think about this very long and hard.
|
dont forget commisions, if any, is it a year around location ?, equiment repairs & lost revenues while broken.possible vandalizm issues.
Welcome to City-Data.com forum! Make sure to register - it's free and very quick! You have to register before you can post and participate in our discussions with 700,000 other registered members. User profiles and some forums can only be seen by registered members. After you create your free account you will be able to customize many options, you will have the full access to over 15,000 posts/day about local topics and you will see fewer ads. 
Linear Mode
