Assignment:
Your goal is to use CVP analysis in a presentation of your project to enable a prospective investor to decide if your project is worth investing in. You will apply the concepts of CVP analysis
Overview:
Create a basic pro format statement necessary to convince someone to provide the start-up funding of the project and then use this information, along with other outside research to create a Microsoft Power Point presentation. The slides of your presentation should be visually appealing-only containing the key points while the speaker notes associated with each slide should provide the essential details.
Tasks:
To create a pro format statement:
Summarize the company and explain CVP and Capital budgeting. Use outside resources to best explain CVP and capital budgeting.
Identify and list the various costs-fixed and variable, direct and indirect-required to execute the project.
Calculate the break-even point for the project and the expected financial returns.
Include a brief discussion of key points of any intangible benefits or costs associated with the project.
Supplement your pro forma statement with sufficient background information to enable a prospective investor to decide if your company is worth investing in.
The detail must have enough historic data to give an investor an understanding of trends.
You should also have sufficient written background so that a potential investor understands the business. Use the speaker notes area of your presentation to add background information that you would communicate verbally in a presentation. This background information should be 1 to 2 pages in length.