Module Title: Accounting for Business

Individual Report : Component 2 (1500 words)

Assignment Brief:

You have been given the choice of one of the two profit-making ventures below.

Option A:

Operating a “take away shop” for 3 months (June, July & August) near Canon’s Park.

Option B:

Organising a ‘Zumba dance party’, with a meal included.

Required Tasks: Marks

1. Choose Option A or Option B
2. List your estimated costs classifying them as either Variable (per burger / per dance ticket) or Fixed.
3. Set a target profit for your venture and use contribution analysis to set a selling price per cups of coffee (Option A) or a dance ticket price (Option B).
4. Calculate the break-even quantity and margin of safety (%) for your venture.
5. Prepare a marginal costing statement for your venture.
6. Prepare an income and expenditure budget for your venture.
7. Write a business case for your venture, 500-600 words, which includes your data from tasks 4 to 6 and which explains your assumptions for running your venture.

 

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