guess the revenue, page-68

After reviewing the Winedepot rate card I have calculatedthe revenue in more detail.

Payment Terms

Invoices are generated weekly in arrears covering the periodMonday-Sunday.

Invoicedat the end of the week.

Payment terms are7 days from the date of invoice.

Unless otherwise agreed, any amounts duewill be automatically debited on the due date against the credit card on file.

Pallet configuration: 56 cases per pallet,14 cases per layer, 4 layers high.

If did 1,200+ orders in one day may have sold 22 x pallets of cases in one day.

The depots require 2-4 weeks stock so will require 110 x pallets/wk x 2-4wks = 220-440 pallets of stock required.

Supplierspay $3.50/case when stock arrives at depot & then pay a further $9.50* whenit is dispatched from depot to customer. *Used Sydney Liquor Connect fee of$13.00/case as average.

Hencethere will be invoices for all the cases arriving at depots for $3.50 &then also additional $9.50* invoices when they are dispatched from depot.

Stockarrival fees

Palletsarriving at $3.50/case x 56 cases = $196/pallet upon arrival

Assume250 x product lines of pallets x 2 = 500 pallets x $196 = $98,000

Stockdispatch fees

Casesdispatched $9.50* x 12,250** orders = $116,375

*UsedSydney Liquor Connect fee of $13.00 as average

**Referto order calculations at bottom

Storagefees

StoragePick Face Pallets – 125 pallets x $5/wk = $625pw

BulkStorage Pallets – 125 pallets x $2.20/wk = $275pw

Thus$900pw x 8wks as would arrive prior to orders = $7,200

Additionalcharges

Pick,pack & invoice - $1.50/order x 12,250 orders = $28,375

Palletfreight $150*** x 250 incoming pallets to depot = $37,500

Merchandise/Kitting$2.50 x 6,125 orders assuming 50% need it = $15,312

***UsedSydney fee as average

TOTAL REVENUE ESTIMATE

$ 98,000

$116,375

$ 7,200

$ 28,375

$ 37,500

$ 15,312

$302,762

**OrderCalculations

Wk1 – 50 orders daily x 5 = 250

Wk2 – 100 orders daily x 5 = 500

Wk3 – 200 orders daily x 5 = 1,000

Wk4 – 400 orders daily x 5 = 2,000

Wk5 – 700 orders daily x 5 = 3,500

Wk6 – 1,000 orders daily x 5 = 5,000

TOTALof 12,250 orders