36
IV. PRO FORMA INCOME STATEMENTS BY PRODUCT LINE
CONCERTS
2004 2005 2006 2007 2008
(3 @ 6,000) (6 @ 6,000) (6 @ 8,000) (6 @ 10,000) (6 @ 10,000)
Sales ($15 ea)
270,000
540,000 720,000 900,000 900,000
Cost of Sales Materials - - - - -
Advertisement 34,740 69,480 78,300 87,000 87,000
Equipment 35,280 70,560 79,175 87,972 87,972
Payroll 81,450 162,900 162,900 162,900 162,900
Studio 2,700 5,400 5,400 5,400 5,400
Lodging 23,661 47,322 47,322 47,322 47,322
Misc 16,710 33,420 33,420 33,420 33,420
Total Cost of
Sales
194,541 389,082 406,517 424,014 424,014
Gross Margin 75,459 150,918 313,483 475,986 475,986
DVDs
2004 2005 2006 2007 2008
(1 @ 7,000) (2 @ 9,000) (3 @ 10,000) (3 @ 11,000) (3 @ 12,000)
Sales ($29.99 ea)
209,930
539,820 899,700 989,670 1,079,640
Cost of Sales Materials 12,740 32,760 54,600 60,060 65,520
Advertisement 99,260 255,240 425,400 467,940 510,480
Equipment
Payroll
Studio 75,000 150,000 225,000 225,000 225,000
Lodging
Misc
Total Cost of
Sales
187,000 438,000 705,000 753,000 801,000
Gross Margin 22,930 101,820 194,700 236,670 278,640
STUDIO CDs
2004 2005 2006 2007 2008
(1 @ 20,000) (2 @ 20,000) (3 @ 30,000) (3 @ 35,000) (3 @ 45,000)
Sales ($15 ea)
300,000 750,000 1,350,000 1,575,000 2,025,000
Cost of Sales Materials 20,200 40,400 90,900 106,050 136,350
Advertisement
170,200 340,400 765,900 893,550 1,148,850
Equipment
Payroll
Studio 60,900 121,800 182,700 182,700 182,700
Lodging
Misc
Total Cost of
Sales
251,300 502,600 1,039,500 1,182,300 1,467,900
Gross Margin 48,700 247,400 310,500 392,700 557,100