Case Study: Mountain Man Brewing Company

| | | | | | | | | | | | | | | | | | Mountain Man Brewing Company | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Financial Projections | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | Assumptions | | | | | | | | | | | Revenues from MM beer | $50,440,000.00 | $ 49,431,200.00 | $ 48,442,576.00 | $ 47,473,724.48 | $ 46,524,249.99 | $ 45,593,764.99 | 2% Decrease in Market Size | | | | | | | | | Contribution (Gross Margin) | $ 15,636,400.00 | $15,323,672.00 |
Light Beer Market | | | | | | | | | | | | | | | | | Assumed market for Light Beer | 18744303 | $ 19,494,075.12 | $ 20,273,838.12 | $ 21,084,791.65 | $ 21,928,183.32 | $ 22,805,310.65 | 4% Market Growth | | | | | | | | | | Market Share for Mountain Man Light | n.a. | 0.25% | 0.50% | 0.75% | 1.00% | 1.25% | From section Chris's Decision. | | | | | | | | | Barrels Sold of Mountain Man Light | n.a. | $ 48,735.19 | $ 101,369.19 | $ 158,135.94 | $ 219,281.83 | $ 285,066.38 | | | | | | | | | | | | Contribution of Light Product | n.a. | $ 1,236,899.07 | $ 2,572,750.06 | $ 4,013,490.09 | $ 5,565,372.93 | $ 7,234,984.80 | Hint: Get the contribution per barrel of Mountain Man Light In the second work sheet | | | Net Change in Contribution | n.a. | $ (1,179,284.53) | $ 921,890.13 | $ 2,377,647.36 | $ 3,944,247.05 | $ 5,628,281.45 | | | | | | | | | | |