Making Financial Business Decisions

Kaplan BUS 255Unit 10: Instructor Graded AssignmentMaking Financial Business DecisionsUnit 10 focuses on using financial methods and statistical data to inform alternative selection within business decisions.For this Assignment you will create a PowerPoint® presentation based on your “purchase” of a restaurant. The following information is to be used to create this presentation.Your presentation is required to have at least one reference from a reliable source. This means that you cannot use sites like Wikipedia, Ask.com®, and Yahoo® answers and that only references from reliable sources will earn points. All resources should be cited both as an in-text citation as well as being listed on a reference slide in APA format.NOTE: This Assignment must be submitted as a Microsoft PowerPoint® document and uploaded to the Dropbox for Unit 10.All Assignments are due by Tuesday at 11:59 PM ET of the assigned unit.PPT Assignment (40 points)You have always wanted to own a restaurant and have now decided to go into business, purchase a building, and open an Italian Bistro. The items listed below provide information regarding the purchases you will need to make to start your business.The building and the land it sits on will cost $250,000 and you have 20% to put down on the property. Annual taxes are $6,000 and fire and liability insurance is $3,600.You have $150,000 of additional funds to allocate for refurbishing the grounds, building structure, interior design, and kitchen. 10% of the savings will be allocated to the grounds, 20% to the building’s structure, 20% to update the interior design, and 50% for kitchen installation and fire suppression systems.Tables are $200 each for 2 tops, $300 each for 4 tops, and $500 each for 6 tops. You plan to purchase eight (8) 2-top tables, six (6) 4-top tables, and ten (10) 6-top tables. Chairs cost $50 each. You are planning on being able to seat 100 people in the restaurant at a time and need 10 extra chairs. Silverware, tablecloths and napkins cost a total of $6,000, serving utensils cost a total of $3,000, and glassware cost a total of $5,000.Place/plate settings cost $35 each. You need to purchase three times the number of planned seats for turn-around and breakage. (Remember you are planning for 100 people in your restaurant.)Servicing carts, cooking equipment, prep tables, storage containers, and other supplies will cost a total of $16,000.Research suggests that the average receipt total per person is $12.80 and the average cost per meal is $6.86 for the Italian restaurants in your area. The research also suggests that tables are turned over for new customers between 13 and 21 times a day in your area, and that restaurants have between 40% and 60% occupancy fill rate each day.You mission is to create a financial business plan explaining the initial outlay of funds this business venture will cost.Create a PowerPoint Presentation for this business venture.The following is an outline of how your slides should be presented.Slide 1: This is your title page. Include your name, project title, the course and section number and the assignment due date.Slide 2: This slide is your introduction slide. This slide should summarize your new business venture, describe your restaurant concept (i.e. casual dining, bight atmosphere, etc.) and provide other helpful information. For example, restaurant name, what types of appetizers, salads, soups, entrees, beer and wine availability, and desserts you might serve, and hours of operation. Highlight what makes you restaurant special.Slide 3: This is your building and real estate summary slide. This slide should include a small picture or building plan drawing of the building, and summarize the purchase price, down payment, and amount financed. The picture of the building can be obtained from a real estate website, or from a building plan drawing available on the Internet (be sure to cite this). This slide should also list the annual tax and insurance amounts. It should also include the monthly mortgage payment including principal, interest, taxes and insurance (PITI). The slide notes (section below the slide in PowerPoint) should contain the steps you took to calculate the monthly mortgage payment.Slide 4 to 6: These slides should include your start up expenses. On these slides you would list the cost of purchasing all of the items listed in items 3, 4, 5 above (tables, place setting, kitchen equipment, etc.). Here you can have fun and include pictures of items, or include graphs of the cost. Be sure to list the total start up expense required to open the restaurant somewhere.Slide 7: This is your revenue slide. Create revenues and food costs from your first 6 days of serving food. Present the average receipt total per person, the average cost per meal, number of times a table is sat or turned over, and fill rate or occupancy rate to estimate your restaurants revenues. This is another place where a graph could help illustrate your revenue potential.Slide 8: Conclude your presentation with the “wrap up” of the concept and any final thoughts you might want to include.Slide 9: List any resources you have used for this project. Be sure to include at least one reference from a reliable source. Because many of the concepts here involve reading from the textbook, remember to include a reference for your textbook, as well. Make sure your citations are presented in APA format.Proofread your work carefully. Use Standard American English, and make sure your presentation is grammatically correct and does not contain spelling errors. Strive to display exceptional content, organization, style and mechanics. For your pictures or building plan drawings, collectively they should cover no more than a quarter of the page. Use 12 – 14 point font size, with normal margins. Use bullet points if appropriate.You may submit your Assignment to the Math Center for review. Tutors will not grade or correct the Assignment, but they will provide guidance for improvement. In addition, tutors will not help you find websites for the Assignment. Be sure to submit Assignments early enough to receive feedback and make corrections before the Assignment due date (24 hour turn-around times Monday-Thursday and 48 hour turn-around times on weekends are typical). Email Assignments to: k..c@kaplan.edu. Please put “MM255 Assignment Review” in the subject line of the message.

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