solution

2A. Use the following information to create and submit a properly labeled (headings, columns, etc.) MONTHLY and YEARLY Income Statement for this fast food restaurant in Hamburg NY.

• Sales for the month of June were $300,000. Sales for the year were $2,600,000.
• The sum of $66,000 was spent on food in June ($792,000 for the year). The store spent $9,000 on paper to wrap food items in June and $108,000 for the year.
• Taxes for June were $15,000. For the year, they were $233,000.
• Fixed operating costs for June were $175,000. For the year, they were $1,000,000.

2B. The student owners from Hilbert College invested $300,000 in start-up costs for this fast food restaurant, what was the STUDENTS ROI for the month and the year? (Assume June as average.)