9.

0 BUDGETING PLAN

9.1 ORGANIZATION DESIGN

9.1.1 Jobs and duties

POSITION FIELD OF WORK

Manager Managing company as well as providing training to
employees
Marketing and Sales Make segmentation on customers to market the
product
Product designer Look for new ideas to create more interesting and
up-to-date of products
Seller Selling all products produced by company
Seller Selling all products produced by company

9.2 SALARY

Position Gross salary PERKESO KWSP (12%) Net sales

(RM) (2%) (RM) (RM) (RM)
Manager 2 000 2 040 2 240 2 280
Marketing and 1 700 1 734 1 904 1 938
Sales
Products 1 500 1 530 1 680 2 210
designer
Seller 1 200 1 224 1 344 1 368
seller 1 200 1 224 1 344 1 368
Total 7600 7752 8512 9 164 (per
month)
109 968 (per
year)
9.3 SOURCE USED

Amount
Types Price (per/unit) (RM) Total price (RM)
(unit)
Portal machine 5 6 000 30 000
Bisque machine 5 3 300 16 500
Metal & iron 20 4 00 8 000
Sponge 10 2 20
Sculptor 10 5 50
Cutter wire 10 10 100
Ruler 10 1 10
Board 10 50 500
Total 55 180

9.4 PROJECT IMPLEMENT COST

Item Cost (RM) Cost (RM)

Capital
Own capital 45 000
Loan (CIMB) 55 000

(-)Initial expenses
Equipment 3 000
Furniture 4 500
Portal wheel machine 6 000
Bisque machine 3 300
Sponge 2
Sculptor 5
Ruler 1
Board 50

Operating expenses
 Salary 9 164

Other expenses
Utility 2 500

Total expenses 28 522

Total balance 71 478

9.5 LOAN REPAYMENT RESERVE

Total loan : RM 55 000

Period of payment : 5 year
Interest rate : 5%
Amount of repayment :
Year Payment Payment Cumulative Balance loan
Per/Month per/year payment (RM)
(RM) (RM) (RM)
1 146 13 750 13 750 55 000
1 146 13 750 12 604 41 250
1 146 13 750 11 458 27 500
1 146 13 750 10 312 13 750
1 146 13 750 9 166 0
9.6 SALES FORECAST

Firm income estimates:

Ceramic product Cost Customers Customers Estimated Estimated

/ service product estimate estimate earnings earning
per/unit per/day per/month per/month per/year
(RM) (1st year)
WonderCube 240 10 200 48 000 576 000

Total income for 60 000 720 000

1st year
Total income for 80 000 850 000
2nd year
Total income for 120 000 900 000
3rd year

9.7 ESTIMATE CASH FLOW STATEMENT FOR 3 MONTHS

MONTH 1 2 3

Balance Receipts

Cash balance 100 000 133 336 184 672

Capital 60 000
Sales / Revenue 80 000 120 000

TOTAL FLOWS 160 000 213 336 304 372

Payment of cash
A) Administrative
expenses

salary 9 164 9 164 9 164

Utility 2 500 2 500 2 500
Expenses
(phone/fax)
Stationary 500 500 500
Rental (premises) 1 500 1 500 1 500

B) Operating
expenses

Insurance 1 500 1 500 1 500

Raw materials 10 000 12 000 14 000

C) Marketing
expenses

Promotion 1 500 1 500 1 500

PAYMENT AMOUNT
26 664 28 664 30 664
133 336 184 672 273 708

9.8 DEPRECIATION OF FIXED ASSET (20%)

Fixed asset Original price Depreciation (20%)

Furniture 4 500 900
Equipment 3 000 600
Machine/tool 9 768 1 953.6
9.9 PAY SLIP 1ST YEAR

RM RM RM
Sales 720 000
Administrative expenses

Salary 109 968

Utility 30 000
Insurance 1 500
Stationary 500
Expenses( fax, telephone) 30 000
Premises rent 18 000

80 000

Marketing expenses
Promotion 18 000

Depreciation
Furniture (20%) 900
Equipment (20%) 600
Machine/tool (20%) 9 768
11 268

Total expenses 219 236

Net profit 500 764
9.9.1 Pay Slip 2nd year

RM RM RM

Sales 850 000

Administrative expenses

Salary 109 968

Utility 30 000

Insurance 1 500

Stationary 500

Expenses( fax, telephone) 30 000

Premises rent 18 000

80 000

Marketing expenses

Promotion 18 000

Depreciation

Furniture (20%) 900

Equipment (20%) 600

Machine/tool (20%) 9 768

11 268
Total expenses 219 236

Net profit 630 764

9.9 2 Pay Slip 3rd year

RM RM RM

Sales 900 000

Administrative expenses

Salary 109 968

Utility 30 000

Insurance 1 500

Stationary 500

Expenses( fax, telephone) 30 000

Premises rent 18 000

80 000

Marketing expenses

Promotion 18 000
 Depreciation

Furniture (20%) 900

Equipment (20%) 600

Machine/tool (20%) 9 768

11 268

Total expenses 219 236

Net profit 680 764

9.9.3 Finance balance sheet year 1

RM RM RM
Current asset

Cash 200 500

Stock 386 449.6
586 949.6
Fixed asset

Furniture (20%) 4 500

(900)
 3 600

Equipment (20%) 3 000

(600)

2 400

Machine/tool (20%) 9 768

(1 953.6)
7 814.4
13 814.4

OWNER EQUITY 600 764

Capital 45 000
(+) net profit 500 764

Long term assets

Loan (CIMB) 55 000
600 764
9.9.4 Finance balance sheet year 2

RM RM RM

Current asset

Cash 320 500.4

Stock 396449.2
716 949.6

Fixed asset

Furniture (20%) 4 500

(900)

3 600

Equipment (20%) 3 000

(600)

2 400

Machine/tool (20%) 9 768

(1 953.6)

7 814.4

13 814.4

730 764
OWNER EQUITY
Capital 45 000
(+) net profit 630 764

Long term assets

Loan (CIMB) 55 000

730 764

9.9.5 Finance balance sheet year 3

RM RM RM

Current asset

Cash
432 636.8
Stock
334 312.8
766 949.6
Fixed asset

Furniture (20%) 4 500

(900)
 3 600

Equipment (20%) 3 000

(600)
2 400

Machine/tool (20%) 9 768

(1 953.6)
7 814.4

13 814.4

780 764

OWNER EQUITY

Capital 45 000
(+) net profit 680 764

Long term assets

Loan (CIMB) 55 000

780 764