2.  Start Up Analysis  Pricing Analysis  Projected Income Statement

3.  To open your business: ◦ What purchases do you need to make? ◦ What startup expenses do you have? ◦ We need: ◦ 3 baking tins from Costco: $30 ◦ 20 pounds of flour: $10 ◦ 10 pounds of sugar: $15 ◦ 3 Sheets of posterboard: $12 ◦ Total: $67

4.  What are the prices of your competition products?  What are your variable costs?  What will your price be? How will this price compete in the marketplace?

5.  A report showing profit or loss over a period of time.  Revenues – Expenses = Profit  You will produce three income statements: ◦ Breakeven income statement ◦ “Best guess” predicted income statement ◦ “Best case” predicted income statement