DIY Wash N' Fix
Sales Forecast
DIY Wash N’ Fix has conservatively forecasted revenue to grow at 5% per year, from $888,120 initially to $979,152 in 2004. Net income is expected to grow at 6% per year, from our initial estimate of $168,906 to $190,313 in 2004. There is potential for more growth, because of the value-added nature of our business. For example, the same customers will likely use all our facilities: the car wash, auto painting, oil change and major repair bays.
| Sales Forecast | |||
| Year 1 | Year 2 | Year 3 | |
| Unit Sales | |||
| Car Wash | 15,120 | 15,876 | 16,670 |
| Vacuum Cleaning | 15,120 | 15,876 | 16,670 |
| Car Paint | 7,560 | 7,938 | 8,335 |
| Oil Change | 7,560 | 7,938 | 8,335 |
| Other Repair | 7,560 | 7,938 | 8,335 |
| Vending Machines, etc. | 1,440 | 1,512 | 1,588 |
| Total Unit Sales | 54,360 | 57,078 | 59,932 |
| Unit Prices | Year 1 | Year 2 | Year 3 |
| Car Wash | $5.00 | $5.00 | $5.00 |
| Vacuum Cleaning | $1.00 | $1.00 | $1.00 |
| Car Paint | $50.00 | $50.00 | $50.00 |
| Oil Change | $15.00 | $15.00 | $15.00 |
| Other Repair | $40.00 | $40.00 | $40.00 |
| Vending Machines, etc. | $2.50 | $2.50 | $2.50 |
| Sales | |||
| Car Wash | $75,600 | $79,380 | $83,349 |
| Vacuum Cleaning | $15,120 | $15,876 | $16,670 |
| Car Paint | $378,000 | $396,900 | $416,745 |
| Oil Change | $113,400 | $119,070 | $125,024 |
| Other Repair | $302,400 | $317,520 | $333,396 |
| Vending Machines, etc. | $3,600 | $3,780 | $3,969 |
| Total Sales | $888,120 | $932,526 | $979,152 |
| Direct Unit Costs | Year 1 | Year 2 | Year 3 |
| Car Wash | $2.13 | $2.13 | $2.13 |
| Vacuum Cleaning | $0.43 | $0.43 | $0.43 |
| Car Paint | $1.13 | $1.13 | $1.13 |
| Oil Change | $0.38 | $0.38 | $0.38 |
| Other Repair | $0.85 | $0.85 | $0.85 |
| Vending Machines, etc. | $1.06 | $1.06 | $1.06 |
| Direct Cost of Sales | |||
| Car Wash | $32,130 | $33,737 | $35,423 |
| Vacuum Cleaning | $6,426 | $6,747 | $7,085 |
| Car Paint | $8,505 | $8,930 | $9,377 |
| Oil Change | $2,835 | $2,977 | $3,126 |
| Other Repair | $6,426 | $6,747 | $7,085 |
| Vending Machines, etc. | $1,530 | $1,607 | $1,687 |
| Subtotal Direct Cost of Sales | $57,852 | $60,745 | $63,782 |
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