# HSM 260 week 6

copy_of_hsm260_appendix_d-1.xls

 CheckPoint Calculating Fixed Costs, Variable Costs, and Break-Even Point for a Program Calculate the fixed cost, variable costs, and break-even point for the program suggested in Appendix D. Base your calculations on the financial data for 2002. Post your final answers as a Microsoft® Word attachment.

## Balance Sheet

\$12,000.00 \$12,000.00

\$193,372.00

AND

LIABILITIES

\$0.00

\$0.00 \$0.00

\$0.00

NET ASSETS

\$391,270.00 \$359,863.00 \$699,004.00

XYZ NONPROFIT CORPORATION
BALANCE SHEET
2002 (A) 2003 (A) 2004 (A)
ASSETS
Current assets
Cash \$2,576.00 \$20,904.00 \$86,971.00
Investments \$12,000.00
Accounts Receivables, net \$88,764.00 \$47,884.00 \$199,905.00
Prepaid expense \$956.00 \$1,270.00 \$4,026.00
Total Current Assets \$104,296.00 \$82,058.00 \$302,902.00
Property and equipment, net
Land \$192,300.00 \$193,372.00
Furniture and equipment \$59,135.00 \$61,053.00 \$92,267.00
Leasehold improvements \$35,539.00 \$23,380.00 \$110,463.00
Total property and equipment \$286,974.00 \$277,805.00 \$396,102.00
TOTAL ASSETS \$391,270.00 \$359,863.00 \$699,004.00
LIABILITIES NET ASSETS
Current liabilities
Accounts payable \$74,826.00 \$39,951.00 \$104,201.00
Accrued payroll and related liabilities \$57,888.00 \$45,954.00 \$66,359.00
Note payable (current portion) \$6,303.00 \$8,070.00 \$166,161.00
Capital lease obligation (current portion) \$0.00 \$312.00
Total current liabilities \$139,017.00 \$93,975.00 \$337,033.00
Note payable (long term) \$1,904.00
Capital lease obligation (long term) \$171,229.00 \$166,004.00
Total liabilities \$310,246.00 \$259,979.00 \$338,937.00
Unrestricted (\$38,418.00) (\$105,127.00) \$27,202.00
Temporarily restricted \$119,442.00 \$205,011.00 \$332,865.00
Total net assets \$81,024.00 \$99,884.00 \$360,067.00
TOTAL LIABILITIES AND NET ASSETS

## Income Statement

2002 (A) 2003 (A) 2004 (A)

\$150,000.00 \$150,000.00

\$24,000.00 \$24,000.00

Other

 XYZ NON-PROFIT CORPORATION INCOME STATEMENT Revenue Grant Income \$617,169.00 \$632,889.00 \$1,078,837.00 Customer Fees \$506,788.00 \$579,824.00 \$1,004,874.00 Other \$39,567.00 \$31,362.00 \$107,370.00 Interest \$1,541.00 \$186.00 \$162.00 Total Revenue \$1,165,065.00 \$1,244,261.00 \$2,191,243.00 Expenses Program services Payroll and benefits \$417,004.00 \$520,069.00 \$915,787.20 Supplies \$125,101.20 \$171,622.77 \$320,525.52 Rent and Utilities \$150,000.00 Telephone \$24,000.00 \$117,903.00 \$79,888.00 \$115,999.00 Management and other \$351,000.00 \$371,101.00 \$445,819.00 Total Expenses \$1,185,008.00 \$1,316,681.00 \$1,972,131.00 Excess revenues of expenses (\$19,943.00) (\$72,420.00) \$219,112.00 Customer Count 5962 6821 11822

## Statement of Cash Flows

XYZ NONPROFIT CORPORATION

2002 (A) 2003 (A) 2004 (A)

(\$19,943.00) (\$72,420.00) \$219,112.00

\$0.00 \$0.00

(\$248,787.00) (\$17,227.00) (\$154,649.00)

\$0.00

\$0.00 \$0.00

\$0.00 \$0.00

\$2,576.00 \$20,904.00

\$2,576.00 \$20,904.00 \$86,971.00

 AXIA COLLEGE MATERIAL: APPENDIX D STATEMENT OF CASH FLOW CASH FLOW FROM OPERATING ACTIVITIES Excess revenues over expenses Adjustments to reconcile cash provided (used) in operations Depreciation \$21,311.00 \$26,396.00 \$36,452.00 Decrease (increase) in accounts receivable (\$38,475.00) \$132,160.00 (\$110,950.00) Decrease (increase) in prepaid expenses \$307.00 (\$314.00) (\$2,640.00) Increase (decrease) in accounts payable \$41,755.00 (\$34,875.00) \$64,250.00 Increase (decrease) in accrued payroll and related expenses \$5,976.00 (\$11,934.00) \$20,405.00 Decrease (increase) in other assets (\$116.00) Net cash provided (used) in operations \$10,931.00 \$39,013.00 \$226,513.00 CASH FLOW FROM INVESTING ACTIVITIES Acquisition of capital items (\$248,787.00) (\$17,227.00) (\$154,649.00) Net cash used by investing activities CASH FLOW FROM FINANCING ACTIVITIES Net proceeds from refinancing of loan \$180,000.00 \$3,539.00 Decrease in loans (\$2,468.00) (\$6,997.00) (\$7,913.00) Capital lease obligations \$2,243.00 Principle payments on capital lease obligation (\$127.00) Net cash provided (used) in financing activities \$177,532.00 (\$3,458.00) (\$5,797.00) Net increase (decrease) in cash (\$60,324.00) \$18,328.00 \$66,067.00 Cash, beginning of year \$62,900.00 Cash, end of year