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Pricing/ cost and income statement

(For this assignment you will have to be creative and know accounting and or finance, the plan requires five-year sales and profit projection with annual revenues in year one of at least $250,000 and a cumulative net profit of at least $500,000 by the end of year 5. Our development and marketing budget is $500,000. Pricing/cost and income statement to reflect such We are planning to sell our bricks at $2.20 per brick. We arrived at this price by factoring the cost related to creating the bricks at $0.19 per kilo of waste plastic and our brick will weigh about 4 kilos per brick so we are estimating 5 kilos of waste plastic to be used to create one brick. We are calculating in an extra kilo of waste plastic to brick to account for waste material. In raw material per brick, we will spend $0.95. In labor, right now for un-skilled workers, the going rate per day is $5.57 if we divide that by an 8 hour work day we get $0.70 per hour assuming one worker spends one hour to create one brick that brings our total cost to $1.65. As for overhead, we expect to spend 0.35 USD per brick bring our cost per brick to 2.0 USD and with a 10% profit per brick that brings our selling price per brick to $2.20.

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