To determine the daycare center's income, expenses, and balance, we need to follow a detailed step-by-step approach.
Step 1: Calculate Monthly Revenue
Given the weekly revenue is [tex]$21,000, and there are usually 4 weeks in a month, the monthly revenue can be calculated as:
\[ \text{Monthly Revenue} = 21,000 \times 4 = 84,000 \]
Step 2: Calculate Expenses
We'll use the provided percentages to calculate each expense.
1. Employee Wages (42%)
\[ \text{Employee Wages} = \frac{42}{100} \times 84,000 = 0.42 \times 84,000 = 35,280 \]
2. Building Rent (10%)
\[ \text{Building Rent} = \frac{10}{100} \times 84,000 = 0.10 \times 84,000 = 8,400 \]
3. Supplies (15%)
\[ \text{Supplies} = \frac{15}{100} \times 84,000 = 0.15 \times 84,000 = 12,600 \]
4. Equipment (5%)
\[ \text{Equipment} = \frac{5}{100} \times 84,000 = 0.05 \times 84,000 = 4,200 \]
5. Educational Licensing (2%)
\[ \text{Educational Licensing} = \frac{2}{100} \times 84,000 = 0.02 \times 84,000 = 1,680 \]
6. Food (10%)
\[ \text{Food} = \frac{10}{100} \times 84,000 = 0.10 \times 84,000 = 8,400 \]
7. Utilities (10%)
\[ \text{Utilities} = \frac{10}{100} \times 84,000 = 0.10 \times 84,000 = 8,400 \]
8. Maintenance (3%)
\[ \text{Maintenance} = \frac{3}{100} \times 84,000 = 0.03 \times 84,000 = 2,520 \]
9. Emergency Repair (3%)
\[ \text{Emergency Repair} = \frac{3}{100} \times 84,000 = 0.03 \times 84,000 = 2,520 \]
Step 3: Calculate Total Expenses
To find the total expenses, we sum up all the calculated individual expenses:
\[ \text{Total Expenses} = 35,280 + 8,400 + 12,600 + 4,200 + 1,680 + 8,400 + 8,400 + 2,520 + 2,520 \]
Adding these figures together:
\[ \text{Total Expenses} = 84,000 \]
Step 4: Calculate Balance
The balance is determined by subtracting the total expenses from the monthly revenue:
\[ \text{Balance} = \text{Monthly Revenue} - \text{Total Expenses} \]
Using the numbers we've calculated:
\[ \text{Balance} = 84,000 - 84,000 = 0 \]
So, the balance sheet representing the daycare's financials is:
- Monthly Revenue: $[/tex]84,000
- Expenses:
- Employee Wages: [tex]$35,280
- Building Rent: $[/tex]8,400
- Supplies: [tex]$12,600
- Equipment: $[/tex]4,200
- Educational Licensing: [tex]$1,680
- Food: $[/tex]8,400
- Utilities: [tex]$8,400
- Maintenance: $[/tex]2,520
- Emergency Repair: [tex]$2,520
- Total Expenses: $[/tex]84,000
- Balance: $0
