Management Accounting II FCB Bakery Shop Executive Summary FCB Bakery is a specialty food retailer. FCB uses a system that is similar to RotiBoy Bakery to provide Mexican buns in a fast and time-efficient way. FCB provides its customers the ability to order and buy the bun without waiting in long queue. FCB is offering cheaper offers to the RotiBoy. FCB offers its patrons the finest Mexican buns, specializing in specialty coffees flavors. In addition, FCB will ensure the patrons grab their freshly made buns straight on the spot without delay.
Seasonally, TDP will add other flavors such as chocolate, cheese and more flavors. FCB will focus on two markets: The Daily Commuter- someone traveling to / from work, out shopping, delivering goods or services, or just out for a drive. The Captive Consumer- someone who is in a restricted environment that does not allow convenient departure and return while searching for finger food, or where finger food are an integral part of the environment. FCB will penetrate the commuter and captive consumer markets by locating their premises in the most logical and accessible locations.
The location are carefully selected in a two-sided traffic and selling the buns in less time than required for a visit to the locally confectionary shop. In addition to providing a quality product and an extensive delicious buns, to ensure customer awareness, as well as good publicity coverage and media support, we will be using word of mouths strategy based upon customer positive feedback. The FCB’s financial picture is quite promising. Since FCB is operating a cash business, the initial cost is significantly less than many start-ups these days. The process is labor intensive and FCB recognizes that a higher level of talent is required. The financial investment in its employees will be one of the greatest differentiators between it and FCB’s competition.
The Term Paper on Food Customs of India
Food Customs of India By: Richa Laroia Course code: HFN20 Teacher: Mrs. Coletti With nearly 1 billion citizens, India is the second most populated nation in the world. There are twenty-four languages that are spoken by a million people or more, and countless other dialects. India has seven major religions and many minor ones, six main ethnic groups, and countless holidays. India is located in ...
For the purpose of this cash budgeting, the capital expenditures of facilities and equipment are financed. There will be minimum inventory on hand so as to keep the product fresh and to take advantage of price drops, when and if they should occur. The danger in having direct competitors would rise up and establish a foothold on a community before — or in the midst of — the arrival of FCB, causing a potential for a drain on revenues and a dramatic increase in advertising expenditures to maintain market share. Knowing these risks — and planning for them — gives FCB the edge needed to make this scenario work.
The projected profits estimates a profit of $166, 004 for the first year, $157, 309 for second year and earnings of $147, 754 on the third year. Introduction First, there was Rotiboy. Then came Roti Mum, Hero and even Pappa Roti. These butter-filled Mexican buns topped with caramelized coffee-cream have become the latest fad to hit food-crazy Singaporeans.
It has become the next biggest food craze in Singapore. What is the rationale for this bun’s popularity and why it is attracting so much people crazy for it? Most customers are enticed by the aroma of freshly baked buns to queue up and “just try.” The new concept to serve it straight away from the oven is one of the reasons that attract most of its patrons. Best eaten when piping hot and it is the wonderful aroma of the coffee butter emanating from the simple bun (flaky and crispy on the outside and light and fluffy in the inside) that keep its customers coming back for more. Rotiboy is the brainchild of 40-year old Mr Hiro Tan, who started the chain back in 1998 in Malaysia. Franchise enquiries, even from Singapore have been flooding in from everyone who saw the chance to milk the popularity of the concept. The bun’s popularity across the Causeway was a major draw to investors in Singapore.
Those in Singapore can now satisfy your craving anytime as Rotiboy has now come to Singapore. Operating from a shopfront at the China Square Food Court since about 3 months ago, Rotiboy is already drawing in the crowds. Plans have been in place already for expansion to the bigger stall next door at China Square, with a second outlet to open at Raffles Place and more to come by next year. Business Ideas Indeed, Rotiboy’s steamroller success has drawn in more than one competitor eager to sniff out profits and jump on the dough bandwagon. Similar products have sprung up in the market, with local Roti Mum Pte Ltd opening just last December at IMM building. This phenomenon has triggered our thoughts of plan.
The Essay on Flow Product Production Business Products
Business notes- operating system. Production Production takes place when resources such as raw materials, are changed in to products. Today in production is often to more generally as those activities that bring a product in to being. Features of production Production takes place when a business takes inputs, carries out a process and produces an output, which is the product... Input is the raw ...
It will be profitable us to use this business idea and to produce similar product. Since the market share is too big for them to digest, we will be able to target at the same segment of customers as RotiBoy. Perhaps we can target on consumer who is more cost sensitive e. g. middle-age housewife… etc.
Under the 4 “P”s, we will choose to concentrate mainly on the Product and Price factors. For product, we will use common recipe which is highly possibly used by RotiBoy as Rotiboy is actually a Mexican bun which is commonly found in Mexico. With the widely used recipes, we can produce similar product as compare to RotiBoy. The most important factor to be taken is the taste and aroma of the bun. Firstly the bun must taste delicious and must have a strong coffee’s smell which will indeed attract the patrons. For price, we will set our selling price lower than what Rotiboy is offering now in order to switch consumer’s brand preference.
If the product has the same taste as Rotiboy and costs lesser, consumer will rather go for a cheaper range of similar product. Moreover, there is a high demand for Mexican buns in Singapore now. Although there are opportunities for us to make a profit out from it, however there is some risk involved. The risk for copying others’ idea is relative high in long run if there are too many copycats competing for same share of pie.
Lesson can be learnt from similar case like the fad of Taiwan Bubble Tea in 2001. This particular business’s idea collapses when there are too many copycats blooming up after its initial success. For our business plan, we will set up similar concept as RotiBoy since this fad just arises. We will set up our store as soon as possible so that we can be one of the few pioneers who sell the Mexican Bun. Despite of using their business idea, we will differential ourselves from others by the name of our buns.
The Term Paper on Cost Accounting Variance Price Actual
Executive Summary By looking at the calculation result from Appendix, we are aware that the efficiency variances for material, labour and variable overhead, the labour price variance and spending variance for variable and fixed overhead turn out to be unfavourable and favourable. These results can be used to evaluate the Jigsaw department, and give the performance evaluation of Jason Cheng ( ...
We will name it as FCB – Fantastic Coffee Bun. Our Bakery Shop Our bakery shop will be set up in a simple designs layout as we are focusing only on our products and services. We will start off with 1 outlet initially and based on the results, we will decide on whether to continue with our business for the long run. For our labor management, we will employ 1 baking hand, 2 kitchen helpers, 2 front shop assistants and a cashier for the entire whole operation.
It is unnecessary for us to invest too much on advertising and promotion as we are competing against competitors with our selling price. Although our buns are no difference from others, we aim to differentiate ourselves with our excellence services and low selling price in order to compete for more market shares. For our case, we are concentrating on a single product, that’s Roti Baby. We are not taking a risk for focusing on only one type of product as now Mexican bun is very popular and we are taking this opportunity to ‘Hit and Run” in short run. Our bun will be 100% freshly home baked and we will not retain any unsold buns overnight. Due to the economy downturn, most of the people are still affecting by the impact.
Now though the economic is slowly improving, however consumers are still price sensitive. As our store involve a low production cost, we can set our selling price lower than what is being offer outside the market. As you can see in all the RotiBoy shop, people are in a very long queue to buy the RotiBoy. We believe that people will be attracted over to another shop if other places are offer the same product which cost cheaper and consumer do not have to queue up so long in order to purchase the desire product. Budget Monthly Operating Income $15, 000 / month Production Capacity Maximum Capacity 2430 unit / day Maximum Capacity 63189 unit / month Sales Forecast Target to sale 1, 800 bun per day Target to sale 46, 800 bun per month Set a sales forecast as this quantity is due to others brand can sales about 1500 of buns with their selling price $1. 2, to attract more consumer, we will produce in better quality, provide better service with lowest price, so with target to sales 1800 buns per day is a logical aim.
The Essay on The Rising Price of Food
Recent years have seen dramatic increases in the world prices for food commodities. The first half of the year 2008 saw the price of rice go up by 50% and generally speaking, similar increases in other food commodities such as maize, soybeans and wheat have been seen across the world, resulting in various forms of panic. In the Philippines, farmers have begun hoarding supplies of rice, while ...
Selling Price Selling price will set as $0. 9 to get a budgeted monthly operating income of $15, 000 with monthly sales for cast is 46800 buns. Selling Price $ 0. 70 $ 0. 80 $ 0.
90 $ 1. 00 $ 1. 10 $ 1. 20 $ 1.
30 (-) Variable Cost $ 0. 40 $ 0. 40 $ 0. 40 $ 0. 40 $ 0. 40 $ 0.
40 $ 0. 40 ( = ) Contribution / unit $ 0. 30 $ 0. 40 $ 0.
50 $ 0. 60 $ 0. 70 $ 0. 80 $ 0.
90 Target sale quantity 46, 800 46, 800 46, 800 46, 800 46, 800 46, 800 46, 800 Total Contribution $14, 040. 00 $18, 720. 00 $23, 400. 00 $28, 080.
00 $32, 760. 00 $37, 440. 00 $42, 120. 00 Total Cost = Variable cost + Semi Variable cost + Fixed cost Units 1 46800 Sales $ 0. 90 $42, 120. 00 (-) Variable Cost $ 0.
40 $18, 720. 00 ( = ) Contribution / unit $ 0. 50 $23, 400. 00 (-) Semi Variable Cost $ 3, 700. 00 (-) Fixed Cost $ 4, 000.
00 Operating Income $15, 700. 00 Break Even Point The Break Even Point is to Sales 15400 buns with selling price $0. 9 $7700/$0. 5 Units 1 15, 400 Sales $ 0.
90 $13, 860. 00 (-) Variable Cost $ 0. 40 ( = ) Contribution / unit $ 0. 50 $ 7, 700.
00 (-) Semi Variable Cost $ 3, 700. 00 (-) Fixed Cost $ 4, 000. 00 Operating Income $ – BEP Safety Margin The safety margin to get a $15000 of Operating Income is to sell 45400 buns. $7700/$0. 5 $22700/$. 5 Units 1 15, 400 45, 400 Sales $ 0.
90 (-) Variable Cost $ 0. 40 ( = ) Contribution / unit $ 0. 50 $ 7, 700. 00 $22, 700.
00 (-) Semi Variable Cost $ 3, 700. 00 $ 3, 700. 00 (-) Fixed Cost $ 4, 000. 00 $ 4, 000. 00 Operating Income $ – $15, 000.
00 BEP Projected Profit for Year 1, 2 and 3 Year 1 Year 2 Year 3 $ $ $ Sales 505, 440. 00 505, 440. 00 505, 440. 00 based on sales forecast (46800 buns) Less: cost of sales (224, 640. 00) (224, 640.
00) (224, 640. 00) Gross profit 280, 800. 00 280, 800. 00 280, 800. 00 Expenses Rental 18, 000. 00 18, 000.
00 18, 000. 00 Salary 74, 100. 00 81, 510. 00 89, 660. 00 CPF 11, 856. 00 13, 041.
The Essay on Actions to Reduce Fixed Costs
•Increase volume such that the fixed costs become a smaller proportion of the cost base. •Derive value from sweating the assets by working them as much as is safely and practically possible. For example, airlines plan their schedules to maximize night-time flying between 11pm and 6am when there are often legal restrictions on landings and take-offs. •Outsource on a unit cost basis, thus making ...
00 14, 346. 00 Depreciation: – fixed assets 1, 000. 00 1, 000. 00 1, 000. 00 Over 10 yrs- Renovation 1, 000.
00 1, 000. 00 1, 000. 00 Over 5 yrs Maintenance: – Kitchen equipment 400. 00 500. 00 600. 00 Electricity & Water 6, 000.
00 6, 000. 00 6, 000. 00 Telephone bills 1, 440. 00 1, 440. 00 1, 440. 00 Audit fee 1, 000.
00 1, 000. 00 1, 000. 00 Net profit / (Loss) 166, 004. 00 157, 309. 00 147, 754. 00 Fixed and Variable Cost Breakdown Monthly Fixed Cost 1 Rental $ 1, 500.
00 Salary – Casher $ 1, 000. 00 Salary – Front shop helper x 2 $ 1, 500. 00 $ 4, 000. 00 Variable cost 1 Direct Material $ 18, 720. 00 Semi-Variable cost 1 Electricity, water & utilities $ 500.
00 2 Salary – Helper x 2 $1, 700 3 Salary – Baking Hand $1, 500 $ 3, 700. 00 Cash Budget for Year 1, 2 and 3 Year 1 Year 2 Year 3 $ $ $ Balance b / f – 204, 644. 00 348, 593. 00 Receipts Initial Capital 50, 000. 00 – – Sales 505, 440.
00 505, 440. 00 505, 440. 00 555, 440. 00 505, 440. 00 505, 440.
00 Payments Fixed assets 10, 000. 00 – – Renovation 5, 000. 00 – – Purchases/Creditors 220, 000. 00 240, 000. 00 240, 000. 00 Payment made after 1 month of purchased.
Budgeted material purchase based on 50000 buns Rental deposit 3, 000. 00 Rental 18, 000. 00 18, 000. 00 18, 000. 00 Salary 74, 100. 00 81, 510.
00 89, 660. 00 include 13 th month, 10% increment for every year CPF 11, 856. 00 13, 041. 00 14, 346. 00 Maintenance: – Kitchen equipment 400. 00 500.
00 600. 00 Electricity & Water 6, 000. 00 6, 000. 00 6, 000. 00 Telephone bills 1, 440. 00 1, 440.
00 1, 440. 00 Audit fee 1, 000. 00 1, 000. 00 1, 000. 00 350, 796. 00 361, 491.
00 371, 046. 00 Surplus / (Deficit) 204, 644. 00 143, 949. 00 134, 394. 00 Balance c / f 204, 644. 00 348, 593.
00 482, 987. 00 Appendix Initial Capital Expenditure 1 Fix Asset $ 10, 000. 00 2 Renovation $ 5, 000. 00 Monthly Fixed Cost 1 Rental $ 1, 500.
00 Salary – Casher $ 1, 000. 00 Salary – Front shop helper x 2 $ 1, 500. 00 $ 4, 000. 00 Variable cost 1 Direct Material $ 18, 720. 00 Semi-Variable cost 1 Electricity, water & utilities $ 500. 00 2 Salary – Helper x 2 $ 1, 700.
00 3 Salary – Baking Hand $ 1, 500. 00 $ 3, 700. 00 Capacity 1 270 bun / hrs 2 2430 bun / day 3 63180 bun / month Sales Forecast 1 1800 bun / day 2 46800 bun / month Mexican Bun Recipe Filling 200 g salted butter, softened $ 8. 00 / kg 2 ml vanilla flavoring $ 1. 00 / 28 ml 70 g brown sugar $ 1. 80 / 1 kg Topping 200 g butter, softened $ 8.
The Essay on Should There Be A Salary Cap In Baseball
Salaries in Baseball are skyrocketing every year. Why would a salary cap be needed? It would be needed to help keep ticket prices down, and help make for a more even level of competition for all of the teams. A salary cap is needed to keep baseball thriving in the future, to keep the game exciting and enjoyable to watch for every fan. The four major professional sports in America are MLB, NBA, ...
50 / kg 160 icing sugar, sifted $ 1. 00 / 500 g 3 Grade A egg, lightly beaten $ 1. 50 / 15 pcs 2 ml coffee flavoring $ 1. 30 / 28 ml 200 g low protein flour $ 1. 10 / kg Sweet dough 500 g high protein flour, sifted $1. 70 / kg 5 g bread improver, sifted + 5 g bread softener $1.
00 / 50 g 20 g milk powder, sifted $20. 00 / kg 75 g castor sugar $1. 50 / kg 5 g day instant yeast $3. 00 / 100 g 1 egg lightly beaten 270 g water 60 g butter softened Packaging $ 0. 01 / Unit COST OF MATERIAL Salted butter 200 g $ 1.
60 Vanilla flavoring 2 ml $ 0. 07 Brown Sugar 70 g $ 0. 13 Butter 260 g $ 2. 21 Icing Sugar 160 g $ 0. 32 Egg 4 $ 0. 40 Coffee flavoring 2 ml $ 0.
09 Low Protein Flour 200 g $ 0. 22 High Protein Flour 500 g $ 0. 85 Break Improver 5 g $ 0. 10 Milk Powder 20 g $ 0.
40 Castor Sugar 75 g $ 0. 11 Instant Yeast 5 g $ 0. 15 $ 6. 65 17 portions $ 6. 65 1 portion $ 0. 40.
