This document is Financial Performance Report Template

It is part of the supporting assessment resources for Assessment Task 3 of BSBFIN601

Grow Management Consultants

Financial performance report

Create your own charts to display the data.
Under each chart, state which document(s) you have taken the data from so the figures can be
checked.

Overall performance
In 2018-2019, the company is extremely profitable. The total revenue or gross profit generated by
the company is $1,614,720, while the total cost of sales is $127,644, which includes the cost of the
new E-book and conference costs. The company's net profit is $797,125. The gross profit margin is
calculated by dividing the gross profit by the sales revenue. The relevant revenue is $1,614,720 for a
cost of sales of $127,644. After deducting the cost of sales from the revenue, the gross profit is
$1,487,076. As a result, the gross profit margin is 92.09%. The net profit margin is calculated by
dividing net profit by sales revenue, and it is 49.37%. Company earn highest proportion of revenue
from consulting and executive search service. The sales turnover is from:
 consulting $1,410,720
 workshop $45,000
 publishing $15,000
 executive search service $144,000
Besides, salary/wages are the most expensive area for the company.

Income variations

Income Budget Actual Variations

Consulting fee 1,210,000 1,410,720 200,720 Favorable
Conference 75,000 45,000 -30,000 Unfavorable
E-book 10,000 15,000 5,000 Favorable
Executive search 144,000 144,000 0
Net income 1,439,000 1,614,720 175,720 Favorable
(Data source: Cash Flow Statement Data 2018-2019)

Cost variations

Expenses Budget Actual Variations

Salaries/wages 504,000 529,200 -25,200 Unfavorable
Superannuation 63,000 63,000 0
Cleaning 10,080 10,080 0
Accounting fees 6,300 7,165 -865 Unfavorable
Advertising and
5,250 5,250 0
marketing
Contract writer 11,500 48,090 -36,540 Unfavorable
Computer softwear 4,200 4,830 -630 Unfavorable
Motor vehicles Unfavorable
4,200 5,444 -1,244
expenses
Utilities 4,200 4,131 69 Favorable
Insurance 4,200 4,028 172 Favorable
Office supplies 1,575 2,207 -632 Unfavorable
Lease/loan Unfavorable
1,365 1,575 -210
payments
Rent 45,108 45,108 0
Sundries 2,100 2,384 -284 Unfavorable
Travel and 5,250 5,654 -404 Unfavorable

1
This document is Financial Performance Report Template
It is part of the supporting assessment resources for Assessment Task 3 of BSBFIN601

Accommodation
Conference venue Unfavorable
5,000 10,000 -5,000
and catering
Speaker fees and Unfavorable
10,000 11,000 -1,000
travel
Marketing Unfavorable
5,000 7,500 -2,500
(conference only)
Conference bags 1,000 1,200 -200 Unfavorable
Conference casual
30,000 30,000 0
project officer
E-book 10,000 10,000 0
Desktop publishing 3,000 3,000 0
Marketing (e-book) 1,200 1,200 0
Repairs & Favorable
1,575 1,260 315
maintenance
Telephone 3,150 3,569 -419 Unfavorable
Total expenses 742,303 816,875 -74,572 Unfavorable
(Data source: Cash Flow Statement Data 2018-2019)

Discrepancies
There are some discrepancies between agreed budget allocations for the conference and the
actual figures. Remarkably, the conference venue and catering’s actual figure ($5,000) is twice as
much as its reality ($10,000). Moreover, actual marketing cost exceeds $2,500 compared to the
budget. The expense for conference bags also goes over, however, its number is inappreciable
($200). Casual project officer is the only area for the conference which has the same budget and
actual figures.

Recommended revisions
Revisions to the 2020 conference budget
Type Cost
Venue and catering 10,500
Speaker fees and travel 11,550
Marketing 7,875
Conference bags 1,260
Staff time 31,500
Total 62,685

Conference fee
Proposed conference fee for the 2019 conference assuming attendance of 70 people and to make a
profit of at least 20%.

 Total expenses: $59,700

 Attendence: 70 people.
 Price of conference: a ($)
 100 x [(a x 70) – 59,700] / (a x 70) = 20%
 a = 854,6