1. Final Exercise DRAFT DOCUMENT (JUST to give you an idea, we will design it after having tested the training kit with an Afghan audience)

2. Final Exercise You are an entrepreneur in the salt industry.
Give an example of an investment in this business
Give an example of an expense in this business
You need to invest in a machine that costs 5000 USD and another one you will pay Pakistani Rupees. Considering the given currency conversion in annex 1, how much money afghani will you invest.
You now have to make your budget for the coming year.
You expect your revenues will reach USD
Your capital USD covers all the investment. However depreciation is 10% of this amount for the first year.
Other expenses include:
Transportation: USD
Cost of goods sold USD

3. Final Exercise
Salaries: USD
Rent: USD
Maintenance costs: USD
Given the budget model in annex 2, write down your budget for the coming year.
You have the opportunity to invest in advertising for USD. You budget it would increase your sales up 1000 USD per month. Write down a new budget with this expense.
Now you decide to make a cash flow statement from January to March

4. Annex n°1: Currency conversion
Afghani
Pak Rupee
USD 1
1,33 ?
0,75
0,02 43 58

5. Annex n°2: Budget Revenue Sales Capital Total Revenue Expenses
Advertising
Transportation
Rent
Salaries
Machines
Depreciation
Supplies (cost of goods)
Maintenance costs
Total expenses
Profit (or loss) : Revenues - Expenses

6. Annex n°3: Cash flow

7. Annex n°4: P&L account Revenue Sales ……………………………………………………….
- Cost of sales
Opening Stock……………………………………………….
+ Purchase…………………………………………………..
- Closing stock………………………………………………
- Expenses
Wages…………………………………………………………
Rent ……………………………………………………………
Advertising ……………………………………………………
Office expense ……………………………………………….
= Profit if positive or Loss if negative

8. Annex n°5: Balance Sheet
BALANCE SHEET AT………………..
Assets
Fixed assets ……….
Current assets ……….
Total Assets ……..…
Equities
Long term equity ………
Current equity ………
Owner’s equity
Capital …...
Profit or Loss ……..
Dividend ……..
Total equity + owner’s equity …