Investment Appraisal
Table of Contents Background of chosen business 3 Selling price analysis 3 Budgeted income Statement for 5 years 3 Sales budget for 5 years 3 Purchase budget 3 Wages Budget 3 Other expenses 3 Net Present Value Statement 3 Recommendation 3 Personal Learning Experience 3
Background of chosen business
For the purpose of investment appraisal assignment we have chosen a fancy furniture business in which we have selected three items which we are going to sell in our business. As UK is the market where people use to decorate their home by antiques and fancy products our three selling items includes fancy mirror, Sofa/chair and centre table. In this investment proposal we do have to import these selling items for the reason of approval of business proposal.
The product which we going to sell are mostly made up of wood work and the best place we can found for this is Malaysia. As Malaysia has one the highest export figures in its raw and furnished wooden items, our survey shows that the technical advancement in Malaysia in term of manufacturing is one of the finest.
Due to limitations on theoretical aspects we have not given the details of the partners from whom we are going to purchase our product but the important aspect is that the shipment placed from Malaysia is on the basis of finished product but they require assembly which is core to our business as we are going to sell these product as easy to assemble basis and in our shop the product are assembled for the reason of display only. The existence of made to assemble furniture is common in all-around UK as people are more comfortable with it due to mobility issues.
The reason of choosing only these three items for sale is that we are targeting the areas in the home which are TV lounge, reception and common sitting rooms. Consumers of these products can find these products attractive because they are light in weight, easy to move and clean. As these products are made up of wooden but the
Background of chosen business
For the purpose of investment appraisal assignment we have chosen a fancy furniture business in which we have selected three items which we are going to sell in our business. As UK is the market where people use to decorate their home by antiques and fancy products our three selling items includes fancy mirror, Sofa/chair and centre table. In this investment proposal we do have to import these selling items for the reason of approval of business proposal.
The product which we going to sell are mostly made up of wood work and the best place we can found for this is Malaysia. As Malaysia has one the highest export figures in its raw and furnished wooden items, our survey shows that the technical advancement in Malaysia in term of manufacturing is one of the finest.
Due to limitations on theoretical aspects we have not given the details of the partners from whom we are going to purchase our product but the important aspect is that the shipment placed from Malaysia is on the basis of finished product but they require assembly which is core to our business as we are going to sell these product as easy to assemble basis and in our shop the product are assembled for the reason of display only. The existence of made to assemble furniture is common in all-around UK as people are more comfortable with it due to mobility issues.
The reason of choosing only these three items for sale is that we are targeting the areas in the home which are TV lounge, reception and common sitting rooms. Consumers of these products can find these products attractive because they are light in weight, easy to move and clean. As these products are made up of wooden but the
Bibliography: Argos Home. [online]. [Accessed 23 Jul 2011]. Available from World Wide Web: < HYPERLINK "http://www.argos.co.uk/static/Home.htm" http://www.argos.co.uk/static/Home.htm > B&Q home page. [online]. [Accessed 24 Jul 2011]. Available from World Wide Web: < HYPERLINK "http://www.diy.com/diy/jsp/?_requestid=114011" http://www.diy.com/diy/jsp/?_requestid=114011 > Harveys The Furniture Store. [online]. [Accessed 24 Jul 2011]. Available from World Wide Web: < HYPERLINK "http://www.harveysfurniture.co.uk/" http://www.harveysfurniture.co.uk/ > Home Base Make a house a home. [online]. [Accessed 23 Jul 2011]. Available from World Wide Web: < HYPERLINK "http://www.homebase.co.uk/" http://www.homebase.co.uk/ > NAOUM, Dr S. G. 2007. Dissertation Research and Writing for Construction Students. Elsevier Ltd.