Executive Business Simulation Copyright (c) April Training Executive 2021

Exercise: Round 4
ld0474sem1clsgr22122

Production Report - Team 2 : GIGA MOTORS

Market Model Price Market
Model Name Produced Sold In Stock
Sector £ Share %
6 GMedium 125000 125000 0 27499.00 2.23
12 GLuxury 11150 11150 0 84499.00 1.48
7 GLarge 50000 51292 0 29999.00 1.76
8 GLuxuryE 8500 11303 0 87999.00 1.50
7 GLarge E 65000 42178 22822 37999.00 1.44

Design and
Market Model Materials Labour Gross
Workforce Options Productivity
Sector Name Cost £ Cost £ Margin %
Cost £
6 GMedium 1000 13212.16 5343.17 246.00 31.63 125.00
12 GLuxury 1180 38898.93 16327.13 3254.26 30.79 9.45
7 GLarge 350 17450.85 6727.50 215.25 18.69 142.86
8 GLuxuryE 970 38898.93 20134.37 3509.12 28.93 8.76
7 GLarge E 500 17450.85 9103.63 236.54 29.50 130.00

Potential Potential
Target Warranty Cost
Market Sector Model Name Productivity Productivity
Production per Car £
Cars/Worker/Year with Overtime
6 GMedium 125000 148.06 177.67 257.71
12 GLuxury 11150 10.86 13.03 767.03
7 GLarge 50000 282.28 338.73 492.19
8 GLuxuryE 8500 10.86 13.03 1020.36
7 GLarge E 65000 239.60 287.52 723.57

Workforce 4000
Strike Days 3
Productivity (cars/worker/year) 64.91
Productivity Index 1.99

Total Market (m) Small Medium Large Luxury

Size 6.41 5.61 2.92 0.75
:
 Team 2 : GIGA MOTORS
Profit and Loss Account - £m

Sales 8515.62
Cost of Sales* 6077.19
Gross Profit (Loss) 2438.43
Overheads
Fixed Overheads 560.10
Stock Upkeep Cost 29.05
Product Recall Cost
Promotion 522.00
Research and Development 12.63
Professional Charges 21.19
Warranty Claims 108.06
Training Cost 65.00
Extraordinary Events

Depreciation 155.34

Operating Profit (Loss) 965.05

Interest on Current Account 43.55
Interest on Loans

Cost of Redundancies
Factory Sale Loss

Pre Tax Profit (Loss) 1008.60

Tax 221.89
Post Tax Profit (Loss) 786.71

*Cost of Sales Breakdown

Opening Stock 193.68
plus Materials Costs 6371.93
plus Wages 123.00
minus Closing Stock 611.42
Cost of Sales 6077.19
:
 Balance Sheet £m - Team 2 : GIGA MOTORS
Fixed Assets
Cost 1,890.00
Depreciation -491.91
Book Value 1,398.09

Current Assets
Stock Value 611.42
Debtors 699.91
Bank Balance 1,573.57

Current Liabilities
Tax 221.89
Creditors 872.87
Overdraft

Net Current Assets (or Liabilities) 1,790.15

Total Assets Less Current Liabilities 3,188.24

Capital and Reserves

Share Equity 500.00
Retained Profit (Loss) 2,688.24
Total Subsidies
Total Shareholders Funds 3,188.24

Long Term Liabilities

Loan

Total Capital Employed 3,188.24

:
 Cash Flow £m - Team 2 : GIGA MOTORS
Opening Bank Balance 1241.43
Revenue 8369.11
Corporate Subsidy
Government Subsidy
Insurance Claim
Factory Sale Income
Bank Interest 43.55
Extraordinary Events

Material Costs 6133.87

Wage Costs 123.00
Total Overheads 1318.04
Factory Cost
Redundancy Costs
Automation Expenditure 300.00
Loan Repayments
Tax Payments 205.62
Bank Interest
New Model Production Costs

Balance Before Loan 1573.57

New Loan
Closing Bank Balance 1573.57
: