Notes to User

1 These templates are designed to be a convenient way to test assumptions and express relationship through a set of
basic financial statements. The most important components of the templates are the assumptions that feed into the
formula. Needless to say, these assumptions should be consistent with and supported by the write up.

2 The worksheets are password protected to prevent inadvertent deletions or revisions in the embedded formulas.
However, if there is a need for revisions, the password unlock key is 1234.

3 These templates are projections and are not intended to be perfectly accurate. The mathematical accuracy of the
numbers are virtually assured. Emphasis should therefore be on the consistency of the assumptions, and the
reasonableness of the numbers and relationships.

4 These templates are not intended to meet the requirements of a financial accounting class, and do not purport to
present information in accordance with generally accepted accounting principles, or the rules on disclosures and
financial statements presentation.

5 With the COVID-19 vaccine becoming imminent, Ukiyo Co. projects that it will sell a total of 5,000 units of its
products for the Year 2021, with significant sales in January and August, which marks the start of the semester.
It is also worth noting that there is a dip in sales for the months of June and July, which marks the summer
vacation of universities and other colleges. Likewise, Ukiyo Co. will also incur significant expenses for marketing
specifically for discount coupons, point of purchase display, display information, production of flyers, and
sponsorship in the months of January and August. Other expenses such as consulting fees, miscellaneous and
depreciation are allocated equally for each months.

6 Ukiyo Co. projects that it will sell a total of 5,250 units of its products for the Year 2022, a 5% increase from Year 2021's.
It is also worth noting that there is a dip in sales for the months of June and July, which marks the summer
vacation of universities and other colleges. Likewise, Ukiyo Co. will also incur significant expenses for marketing
specifically for discount coupons, point of purchase display, display information, production of flyers, and
sponsorship in the months of January and August. Other expenses such as consulting fees, miscellaneous and
depreciation are allocated equally for each months.

7 Ukiyo Co. projects that it will sell a total of 5,513 units of its product for the Year 2023, a 5% increase from Year 2022's.
It is also worth noting that there is a dip in sales for the months of June and July, which marks the summer
7

vacation of universities and other colleges. Likewise, Ukiyo Co. will also incur significant expenses for marketing
specifically for discount coupons, point of purchase display, display information, production of flyers, and
sponsorship in the months of January and August. Other expenses such as consulting fees, miscellaneous and
depreciation are allocated equally for each months.

8 For Year 2021, Ukiyo Co. has invested P250,000 as capital for its operation. Likewise, it has also purchased P50,000
worth of equipment which formed part of the business's capital expenditure. It is also worth noting that Ukiyo did not
purchase any long term assets and provided additional investments for the subsequent years.
 UKIYO CO.
PROFIT / LOSS STATEMENT
For the Year 2021

Jan Feb Mar Apr May Jun Jul

Sales and other income 110,088.00 41,283.00 34,353.00 27,522.00 20,592.00 13,662.00 13,662.00

Cost of Good Sold (48,182.96) (18,068.61) (15,035.51) (12,045.74) (9,012.64) (5,979.54) (5,979.54)
Consulting Fees (500.00) (500.00) (500.00) (500.00) (500.00) (500.00) (500.00)
Marketing Expense (5,491.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67)
Discount Coupons (1,000.00) (200.00) (200.00) (200.00) (200.00) (200.00) (200.00)
Point of purchase Display (500.00) (100.00) (100.00) (100.00) (100.00) (100.00) (100.00)
Fan Page Promotion - - - - - - -
Creation of Social Media Account - - - - - - -
Display information (500.00) (250.00) (250.00) (250.00) (250.00) (250.00) (250.00)
Production of flyers (500.00) (250.00) (250.00) (250.00) (250.00) (250.00) (250.00)
Sponsorships (2,500.00) - - - - - -
Miscellaneous Expense (200.00) (200.00) (200.00) (200.00) (200.00) (200.00) (200.00)
Depreciation Expense (291.67) (291.67) (291.67) (291.67) (291.67) (291.67) (291.67)

Net Profit (Loss) 55,913.37 21,422.72 17,525.82 13,684.59 9,787.69 5,890.79 5,890.79

**Refer to Note 5
 Aug Sept Oct Nov Dec
110,088.00 41,283.00 34,353.00 27,522.00 20,592.00

(48,182.96) (18,068.61) (15,035.51) (12,045.74) (9,012.64)

(500.00) (500.00) (500.00) (500.00) (500.00)
(5,491.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67)
(1,000.00) (200.00) (200.00) (200.00) (200.00)
(500.00) (100.00) (100.00) (100.00) (100.00)
- - - - -
- - - - -
(500.00) (250.00) (250.00) (250.00) (250.00)
(500.00) (250.00) (250.00) (250.00) (250.00)
(2,500.00) - - - -
(200.00) (200.00) (200.00) (200.00) (200.00)
(291.67) (291.67) (291.67) (291.67) (291.67)

55,913.37 21,422.72 17,525.82 13,684.59 9,787.69 PHP 248,450.00

 UKIYO CO.
PROFIT / LOSS STATEMENT
For the Year 2022

Jan Feb Mar Apr May Jun Jul

Sales and other income 115,830.00 43,362.00 36,135.00 28,908.00 21,681.00 14,256.00 14,355.00

Cost of Good Sold (50,696.10) (18,978.54) (15,815.45) (12,652.36) (9,489.27) (6,239.52) (6,282.85)
Consulting Fees (500.00) (500.00) (500.00) (500.00) (500.00) (500.00) (500.00)
Marketing Expense (5,491.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67)
Discount Coupons (1,000.00) (200.00) (200.00) (200.00) (200.00) (200.00) (200.00)
Point of purchase Display (500.00) (100.00) (100.00) (100.00) (100.00) (100.00) (100.00)
Fan Page Promotion - - - - - - -
Creation of Social Media Account - - - - - - -
Display information (500.00) (250.00) (250.00) (250.00) (250.00) (250.00) (250.00)
Production of flyers (500.00) (250.00) (250.00) (250.00) (250.00) (250.00) (250.00)
Sponsorships (2,500.00) - - - - - -
Miscellaneous Expense (200.00) (200.00) (200.00) (200.00) (200.00) (200.00) (200.00)
Depreciation Expense (291.67) (291.67) (291.67) (291.67) (291.67) (291.67) (291.67)

Net Profit (Loss) 59,142.23 22,591.79 18,527.88 14,463.97 10,400.06 6,224.81 6,280.48

**Refer to Note 6
 Aug Sept Oct Nov Dec
115,533.00 43,263.00 36,036.00 28,809.00 21,582.00

(50,566.11) (18,935.21) (15,772.12) (12,609.03) (9,445.94)

(500.00) (500.00) (500.00) (500.00) (500.00)
(5,491.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67)
(1,000.00) (200.00) (200.00) (200.00) (200.00)
(500.00) (100.00) (100.00) (100.00) (100.00)
- - - - -
- - - - -
(500.00) (250.00) (250.00) (250.00) (250.00)
(500.00) (250.00) (250.00) (250.00) (250.00)
(2,500.00) - - - -
(200.00) (200.00) (200.00) (200.00) (200.00)
(291.67) (291.67) (291.67) (291.67) (291.67)

58,975.22 22,536.12 18,472.21 14,408.30 10,344.39 262,367.50

 UKIYO CO.
PROFIT / LOSS STATEMENT
For the Year 2023

Jan Feb Mar Apr May Jun Jul

Sales and other income 121,770.00 47,025.00 38,115.00 30,294.00 22,770.00 14,949.00 15,345.00

Cost of Good Sold (53,295.90) (20,581.75) (16,682.05) (13,258.98) (9,965.90) (6,542.83) (6,716.15)
Consulting Fees (500.00) (500.00) (500.00) (500.00) (500.00) (500.00) (500.00)
Marketing Expense (5,491.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67)
Discount Coupons (1,000.00) (200.00) (200.00) (200.00) (200.00) (200.00) (200.00)
Point of purchase Display (500.00) (100.00) (100.00) (100.00) (100.00) (100.00) (100.00)
Fan Page Promotion - - - - - - -
Creation of Social Media Account - - - - - - -
Display information (500.00) (250.00) (250.00) (250.00) (250.00) (250.00) (250.00)
Production of flyers (500.00) (250.00) (250.00) (250.00) (250.00) (250.00) (250.00)
Sponsorships (2,500.00) - - - - - -
Miscellaneous Expense (200.00) (200.00) (200.00) (200.00) (200.00) (200.00) (200.00)
Depreciation Expense (291.67) (291.67) (291.67) (291.67) (291.67) (291.67) (291.67)

Net Profit (Loss) 62,482.43 24,651.58 19,641.28 15,243.35 11,012.43 6,614.50 6,837.18

**Refer to Note 7
 Aug Sept Oct Nov Dec
111,672.00 46,827.00 38,016.00 30,294.00 28,710.00

(48,876.24) (20,495.09) (16,638.72) (13,258.98) (12,565.70)

(500.00) (500.00) (500.00) (500.00) (500.00)
(5,491.67) (1,291.67) (1,291.67) (1,291.67) (1,291.67)
(1,000.00) (200.00) (200.00) (200.00) (200.00)
(500.00) (100.00) (100.00) (100.00) (100.00)
- - - - -
- - - - -
(500.00) (250.00) (250.00) (250.00) (250.00)
(500.00) (250.00) (250.00) (250.00) (250.00)
(2,500.00) - - - -
(200.00) (200.00) (200.00) (200.00) (200.00)
(291.67) (291.67) (291.67) (291.67) (291.67)

56,804.09 24,540.24 19,585.61 15,243.35 14,352.63 277,008.71

 UKIYO CO.
CONSOLIDATED STATEMENTS OF CASH FLOW
(in Philippine Pesos)

Year Ended December 31

2021 2022 2023
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD PHP - PHP 448,450.00 PHP 710,817.50
OPERATING ACTIVITIES:
Cost of Goods Sold (216,650.00) (227,482.50) (238,878.29)
Consulting Fees (6,000.00) (6,000.00) (6,000.00)
Marketing Expense (18,000.00) (18,000.00) (18,000.00)
Discount Coupons (4,000.00) (4,000.00) (4,000.00)
Point of purchase Display (2,000.00) (2,000.00) (2,000.00)
Fan Page Promotion - - -
Creation of Social Media Account - - -
Display information (3,500.00) (3,500.00) (3,500.00)
Production of flyers (3,500.00) (3,500.00) (3,500.00)
Sponsorships (5,000.00) (5,000.00) (5,000.00)
Miscellaneous Expense (2,400.00) (2,400.00) (2,400.00)
Depreciation Expense (3,500.00) (3,500.00) (3,500.00)
Sales 495,000.00 PHP 519,750.00 545,787.00
Net cash provided by (used in) operating activities 248,450.00 262,367.50 277,008.71
INVESTING ACTIVITIES:
Purchase of Equipment (50,000.00) - -
Net cash provided by (used in) investing activities (50,000.00) - -
FINANCING ACTIVITIES:
Investment of Cash 250,000.00 - -
Net cash provided by (used in) financing activities 250,000.00 - -
CASH AND CASH EQUIVALENTS, END OF PERIOD PHP 448,450.00 PHP 710,817.50 PHP 987,826.21

**Refer to Note 8