INFORMATION AND DATA BASES FOR THE PROJECTIONS AND CONFORMATION OF THE BUDGETS EMPRESAS SOTOMAYOR lists below historical financial data, basis for projections and required budget forecasts

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INFORMATION AND DATA BASES FOR THE PROJECTIONS AND CONFORMATION OF THE BUDGETS

EMPRESAS SOTOMAYOR lists below historical financial data, basis for projections and required budget forecasts.

SALES PER MONTH DURING THE PAST YEAR 20X1
JANUARY $550,000 FEBRUARY $825,000 MARCH $575,000
APRIL $870,000 MAY $1,080,000 JUNE $1,065,000
JULY $1,070,000 AUGUST $1,060,000 SEPTEMBER $1,180,000
OCTOBER $1,140,000 NOVEMBER $1,290,000 DECEMBER $1,460,000

 

III. Projection of monthly disbursements for operating expenses and the principal of debts with their corresponding interest. 20X2
Expenses: all are paid from projected sales and in the month they are incurred. These are:

? Salaries: 29.50% of projected monthly sales

? Commissions 2% of projected monthly sales, plus 3.5% of what is charged monthly.

? Payroll: 10.9% of what is paid in salaries and commissions.

? Utilities: $45,000 per month

? Insurance: $12,000 per month

? Mortgage Interest: 7.5% simple interest, of the principal balance to be divided monthly, payable monthly.

? Interest Other debts: 12% simple interest of the principal balance to be divided monthly to apply to the others.

Amortization of the principal of the debts:

MORTGAGES $950,000 total principal as of January. Payments at the end of the month to principal of $30,000. HINT: Simple interest calculation. The principal decreases monthly and the time in the formula will increase monthly one month at a time.

OTHER DEBTS $750,000 Total Principal. Monthly principal payments of $25,000, at the end of the month. The principal decreases monthly and the time in the formula will increase monthly one month at a time.

The information presented in this section is for the formulation, structuring and calculation of the projections of the Budget of Expenses and Debts.