UNIVERSITY OF CHITTAGONG

Course Title:
Financial Accounting 1st Year B.B.A. (hons.)

Course Instructor:
Mr. Md. Bazlur Rahman

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Presented By
Mizanur Rahman Azizul Hoque Kowshik Das Gupta Samsad Chowdhury Washim Kabir (Soton) 5421 5343 5425 5424 5393

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Presentation on
New Business Plan

MAKS Executives Development Center.

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Table Of Content:
About the organization
Objectives

Business plan Organizational chart Our activities Opportunities Strategic planning. Finding and financial statement Conclusion Reference

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About The Organization:

MAKS executives development center:
Its a skill development center It was started on 1st January 2007 Partnership firm Area coverage: Chittagong City Corporation Workforce: 20-30 employees

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Business plan:
Our business plan is divided into two categories: Business plan

Marketing plan

Operating plan

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Marketing plan:
The marketing plan of MAKS executives development center is going through three points that are as follows:

Marketing Plan

Competitive advantages

Pricing

Promotional plan

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Competitive advantages:
Greater response from customer. Dominating on the market at the beginning. To keep control over the competitors in its whole life. Large scale of revenues by offering lower price. Best image will be created as a new business in its whole life.

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Pricing:

Admission fee revenue tk. 2500 from each trainee for computer course. Admission fee revenue tk. 1500 from each trainee for writing ability course. Admission fee revenue tk. 3000 from each trainee (for customer dealing, organizational behavior, English speaking and technical assistance course. Monthly revenue tk. 1200 from each trainee for computer course. Monthly revenue tk. 800-1000 from each trainee for writing ability course

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Promotional Plan:
Daily advertising in a regional print media. Sometimes advertising in national print media Contract based advertising in CCL channel Arranging seminar in Muslim Institute, Hotel Jaaman auditorium, Port area and other places. Inviting the executives of various Bank, Insurance company, Industrial firm and other business organization by sending our trainee collection managers. Advertising in bill board, sign board, leaflet.

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Operating Plan
The operating plan of MAKS executives development center is going through three points that are as follows:

Operating Plan

Location

facility

operating equipment

management

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Location:
Chittagong is a industrial development and commercial area. Our MAKS is situated at GEC more in Chittagong.

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Facility:
A lot of trainee will be found here. A lot of trainer also available here Our span of management also suitable for this business.

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Operating equipment:
Central air condition Computer lab Hand writing learning tools.

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Organizational Chart:
Top Management Marketing manager Trainer collection Manager Finance and Accounting Manager Operating Manager

Trainee collection Manager

Supervisors

Supervisors

Supervisors

Supervisors

Finance manager

Accounting Manager

Supervisors Supervisors Supervisors Supervisors Supervisors Supervisors

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Our Activities:
Computer course Customer dealing English speaking Organizational behavior Writing ability Technical assistance

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Business Opportunity:
From the organizational point of view:
It is situated in an industrial development area. Chittagong is the commercial capital of the country. Availability of unskilled and inexperienced executives and managers as trainee. Availability of large scale of industrial firms and multinational company. Low risk. Probability of satisfactory profit. Good communication location.
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From the customer point of view: 1. Easy communication facilities.

2. Pick and off pick services. 3. Separate batches for both firms executives and 4. unemployed who are seeking for new job. 5. Provides special trainers and experienced executives for each programme.

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Objectives:
To develop the organization behavior of executives To develop the power of customer dealing To offer technical assistance To create employment opportunity To obtain satisfactible profit.

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Finding and Financial Statement

Transactions:
MAKS skill development center started its business on 1st January 2007 with 900000 cash and 200000 bank loan. Transaction which occurred in the business from January 1 to March 31st are as follows: January 1: Purchase furniture for office and classrooms tk. 50000 in cash. January 2: Purchase office equipment in cash tk. 500000 and a Photostat machine purchase on account tk. 35000. January3: Purchase office supply from Mizans stationary for tk. 12000 where Tk. 4000 on account. January 5: Received admission fee from the each trainee Tk. 3000 where total number of trainee are 20.

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January 8: Advertisement fee in CCL channel Tk. 3000. January 8: Paid taka 5000 for opening a website. January 12: Opened a bank account in Standard charted bank with tk.100000. January 16: Paid the price of Photostat machine which was purchased on account. January 20: Cash Tk. 20000 expenditure occurred for arranging a seminar as the publication of MAKS in Muslim Hall. January 28: Paid Tk. 15000 cash to various university teaches and chief executive officers of various firm and other tk. 5000 will be paid after 5 days. January 31: Received Tk. 10000 as the revenues from the trainee and Tk. 5000 revenues offered on account. January 31: Tk. 300000 deposits in the bank. Only Expert Can Survive in the world

February 1: Received Tk. 40000 cash from the trainee who took admission in English course and another Tk. 60000 took as admission from those who took admission in the batches of customer dealing. February5: A six months contract costing Tk. 9000 with the daily purbokhun where per day cost in Tk. 50 paid full agreement cost with a cheque. February6: Paid salary to employees Tk. 14000 and another Tk. 6000 occurred on account. February8: Deposit Tk. 50000 in Standard chartered Bank. February8: Paid office rent Tk. 5000. February9: Paid electricity belll Tk. 6000. February10: Paid water and gas Bill Tk. 1000. February10: Paid water and gas Bill Tk. 1000. Only Expert Can Survive in the world

February10: Paid water and gas Bill Tk. 1000. February 15: Paid Tk. 240 paper bill of daily prothom alo February 15: Received Tk. 40000 cash from the trainee for taking admission in organizational behavior batch. February 16: Paid Tk. 6000 of salary payable of feb. 6. February 28. Purchase additional office furniture Tk. 10000 and additional two computer and one air-conditioned machine Tk. 100000 by Tk. 110000 cheque. February 28: Received service revenue from the trainee Tk. 75000 February 28: tk. 100000 deposit in the bank.

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March 1: Paid Tk. 25000 to the trainer. March 5. Paid electricity bill Tk. 10000. March 6: Water and Gas bill paid Tk. 1000. March 10: Paid salary to employees Tk. 10000 March 10: Received admission fee from those who took admission in English speaking batch Tk. 30000. March 10: Paid office rent Tk. 5000. March 15: Withdraw from bank Tk. 20000 for owners March 20: Withdraw from bank Tk. 5000 for business. March 22: Sold old newspaper and collect Tk. 60. March 23: Bank created service charges Tk. 200. March 30: Collect Tk. 100000 as monthly revenues from the trainee. March 31: Purchase office supplies on account Tk. 12000, paid Tk. 35000 to the trainer and other Tk. 10000 remain as payable. March 31: tk. 150000 deposit in the bank.

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MAKS executives development Center Journal entries

Date
2007 Jan.1

Particular
Cash Bank loan Capital Furniture Cash Office equipment Cash Account payable

Ref. Debit
1100000

Credit
200000 900000

50000 50000 535000 500000 35000

Jan.1

Jan.2

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Jan. 3

Jan. 5 Jan. 8 Jan. 8

Office supplies Cash Account payable Cash Admission fee revenue Advertising expense Cash Web designing cash

12000
8000 4000 60000 60000 3000 3000 5000 5000

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Jan. 12 Jan. 16 Jan. 20 Jan. 28

Jan. 31

Jan. 31

Bank Cash Account payable Cash Seminar expense Cash Honorarium expense Cash Honorarium payable Cash Account receivable Service revenues Bank Cash

100000

100000
35000 35000 20000

20000
20000 15000 5000

10000 5000
15000 300000 300000

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Feb. 1 Feb. 5 Feb. 6

Feb. 8

Feb. 8
Feb. 9

Feb. 10

Cash Admission fee revenues Prepaid advertising expense Cash Salary expense Cash Salary payable Bank Cash Rent expense Cash Electricity expense Cash Water and gas expense Cash

100000

100000
9000 9000 20000

14000 6000
50000 50000

5000
5000 6000 6000

1000
1000

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Feb. 15 Feb. 15 Feb. 15 Feb. 16 Feb. 28

Feb. 28

Feb. 28

Account payable Cash Miscellaneous expense Cash Cash Admission revenue Salary payable Cash Furniture Office equipment Bank Cash Service revenue Bank Cash

4000

4000
240 240 40000

40000
6000 6000 10000 100000 110000 75000 75000

100000
100000

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Mar. 1 Mar. 5 Mar. 6 Mar. 10 Mar. 10 Mar. 10 Mar. 15

Honorarium expense Cash Electricity expense Cash Water and gas expense Cash Salary expense Cash Cash Admission fee revenue Rent expense cash Withdraw Bank

25000

25000
10000 10000 1000

1000
10000 10000 30000

30000
5000 5000 20000

20000

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Mar. 20 Mar. 22 Mar. 23 Mar. 30 Mar. 31

Mar. 31

Cash Bank Cash Miscellaneous revenue Bank charge Bank Cash Service revenue Supplies Honorarium expense Account payable Cash honorarium payable Bank Cash

5000

5000
60 60 200

200
100000 100000 12000 45000 12000 35000 10000 150000 150000

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Cash
Date
2007 Jan. 1 Jan. 1 Jan. 1 Jan. 2 Jan. 3 Jan. 5 Jan. 8 Jan. 8 Jan. 12 Jan. 16 Jan. 20

explanation
Bank loan Capital Furniture's Office equip. Office supplies Admission fee Advertising exp Web design Bank Accounts pay. Seminar exp

Ref Debit
200000 900000

Credit Balance
Debit Credit 200000 1100000 1050000 550000 542000 602000 599000 594000 494000 459000 439000

50000 500000 8000 60000 3000 5000 100000 35000 20000

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Jan. 28 Jan. 31. Jan. 31 Feb. 1 Feb. 5 Feb. 6 Feb. 8 Feb. 8 Feb. 9 Feb. 10 Feb. 15 Feb. 15 Feb. 15 Feb. 16 Feb. 28

Honorarium exp Service revenue Bank Admission fee Pre paid adv. Salary exp Bank Rent expense Electricity exp Water and gas Admission fee Accounts pay Miscellaneous expense Salary payable Service revenue

15000

10000
300000 100000 9000 14000 50000 5000 6000 1000 40000 4000 240 6000 75000

424000 434000 134000 234000 225000 211000 161000 156000 150000 149000 189000 185000 184760 178760 253760

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Feb. 28 Mar. 1 Mar. 5 Mar. 6 Mar. 10 Mar. 10 Mar. 10 Mar. 20 Mar. 22 Mar. 30 Mar. 31 Mar. 31

Bank Honorarium exp Electricity exp Water and gas Salary expense Rent expense Admission fee Bank Miscellaneous revenue Service revenue Honorarium expense Bank

100000 25000 10000 1000 10000 5000 30000 5000 60 100000

153760 128760 118760 117760 107760 102760 132760 137760 137820 237820 35000 202820 150000 52820

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Furniture
Date
2007 Jan. 1 Feb. 28

explanation
Cash Bank

Ref. Debit
50000 10000

Credit

Balance
Debit 50000 60000 Credit

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Office equipment
Date explanation Ref. Debit
500000 35000 100000

Credit Balance
Debit 500000 535000 635000 Credit

2007 Jan. 2 Cash Jan. 2 Account payable Feb.28 Bank

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Office supplies
Date
2007 Jan. 3 Jan. 3 Mar. 31

explanation Ref. Debit

Cash A / payable A / payable 8000 4000 12000

Credit

Balance
Debit 8000 12000 24000 Credit

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Admission revenue
Date explanation Ref. Debit Credit Balance
Debit 60000 100000 40000 30000 Credit 60000 160000 200000 230000 2007 Jan. 5 Cash Feb. 1 Cash Feb. 15 Cash Mar. 10 Cash

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Seminar expense
Date
2007 Jan. 20

explanation
Cash

Ref. Debit
20000

Credit Balance
Debit 20000 Credit

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Honorarium expense
Date
2007 Jan. 28 Jan. 28
Mar. 1 Mar. 31 Mar. 31

explanation Ref. Debit Credit

Cash Honorarium payable Cash Cash Honorarium payable 15000 5000 25000 35000 10000

Balance
Debit 15000 20000
45000 80000 90000

Credit

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Honorarium payable
Date
2007 Jan. 28 Mar. 31

explanation Ref. Debit

Honorarium expense Honorarium expense

Credit
5000 10000

Balance
Debit Credit 5000 15000

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Web designing
Date
2007 Jan. 8

explanation Ref. Debit Credit

Cash 5000

Balance
Debit 5000 Credit

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Advertising expense
Date
2007 Jan. 8

explanation
Cash

Ref. Debit
3000

Credit

Balance
Debit 3000 Credit

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Bank account
Date
2007 Jan. 12 Jan. 31 Feb. 8 Feb. 28 Feb. 28 Feb. 28 Mar. 15 Mar. 20 Mar. 23 Mar. 31

explanation Ref. Debit

Cash Cash Cash Furniture Office equip. Cash Withdraw Cash Bank charge Cash 100000 300000 50000

Credit Balance
Debit 100000 400000 450000 440000 340000 440000 420000 415000 414800 564800 Credit

10000 100000 100000 20000 5000 200 150000

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Account receivable
Date explanation
2007 Jan.31 Service revenue

Ref. Debit Credit Balance

Debit Credit

5000

5000

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Service revenue
Date
2007 Jan. 31 Jan. 31 Feb.28 Mar. 30

explanation
Cash
Account receivable

Ref. Debit

Credit
10000 5000 75000 100000

Balance
Debit Credit 10000 15000 90000 190000

Cash Cash

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Bank loan
Date
2007 Jan. 1

explanation
Cash

Ref. Debit

Credit
200000

Balance
Debit Credit 200000

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Capital
Date
2007 Jan. 1

explanation Ref. Debit

Cash

Credit
900000

Balance
Debit Credit 900000

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Accounts payable
Date
2007 Jan. 2

explanation Ref. Debit

Office equipment Office supplies Cash Office supplies Cash

Credit
35000 4000

Balance
Debit Credit 35000 39000 4000 16000 12000

Jan. 3 Jan. 16 Jan. 31 Mar. 31

35000 12000 4000

35000 4000

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Pre paid advertising expense

Date
2007 Feb. 5

explanation Ref. Debit Credit Balance

Debit Cash 9000 9000 Credit

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Salary expense
Date
2007 Feb. 6 Feb. 6 Mar. 10

explanation
Cash Salary payable Cash

Ref. Debit
14000 6000 10000

Credit Balance
Debit Credit 14000 20000 30000

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Salary payable
Date explanation Ref. Debit Credit Balance
Debit 6000 Credit 6000 2007 Feb. 6 Salary expense Feb. 16 Cash

6000

6000

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Rent expense
Date explanation Ref. Debit Credit Balance
Debit 5000 5000 5000 10000 Credit 2007 Feb. 8 Cash Mar. 10 Cash

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Electricity expense
Date
2007 Feb. 9 Mar. 5

explanation
Cash Cash

Ref. Debit Credit Balance

Debit 6000 10000 6000 16000 Credit

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Water and gas expense

Date explanation Ref. Debit
1000 1000

Credit
Debit

Balance
Credit 1000 2000

2007 Feb. 10 Cash Mar. 6 Cash

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Miscellaneous expense
Date explanation Ref. Debit
240

Credit Balance
Debit 240 Credit

2007 Feb.15 Cash

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Miscellaneous revenue
Date explanation Ref. Debit Credit
Debit 60

Balance
Credit 60

2007 Mar. 22 Cash

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Drawing
Date
2007 Mar. 15

explanation
Bank

Ref. Debit
20000

Credit
-------

Balance
Debit 20000 Credit

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Bank charge
Date explanation Ref. Debit Credit
Debit

Balance
Credit

2007 Mar. 23 Bank

200 --------

200

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MAKS executives development center

Trail balance
Sl. No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. Accounts title Cash Furniture Office equipment Office supplies Admission revenue Seminar expense Honorarium expense Honorarium payable Web designing Advertising expense Bank Account receivable Ref. Debit 52820 60000 635000 24000 230000 20000 90000 15000 5000 3000 564800 5000 Credit

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13. 14. 15. 16. 17. 18 19. 20. 21. 22. 23. 24. 25. 26.

Service revenue Bank loan Capital Accounts payable Pre paid advertising expense Salary expense Salary payable Rent expense Electricity expense Water and gas expense Miscellaneous expense Miscellaneous revenue Drawing Bank charge

190000 200000 900000 12000 9000 30000 ------10000 16000 2000 240 60 20000 200 1547060

1547060

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Adjustment entries
1. 2. 3. 4. Calculate depreciation 5% on furniture and office equipment. Tk. 5000 interest payable is due for payment next month. Supplies on hand totaled Tk. 1500. Tk.10000 salary is due for payment.

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MAKS executive development center Adjusted trail balance

Sl. No.
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14.

Accounts title
Cash Furniture Office equipment Office supplies Admission revenue Seminar expense Honorarium expense Honorarium payable Web designing Advertising expense Bank Account receivable Service revenue Bank loan

Ref.

Debit
52820 60000 635000 1500

Credit

230000 20000 90000 15000 5000 3000 564800 5000 190000 200000

15. 16. 17. 18 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33.

Capital Accounts payable Pre paid advertising expense Salary expense Salary payable Rent expense Electricity expense Water and gas expense Miscellaneous expense Miscellaneous revenue Drawing Bank charge accumulated depreciation on furniture Depreciation on furniture Accumulated depreciation on equipment Depreciation on equipment Interest expense Interest payable Supplies expense

900000 12000

9000 40000
10000 10000 16000 2000 240 60 20000 200

3000
3000 31750 31750 5000

5000
22500 1596810 1596810

Conclusion:
We think as a completely new business our MAKS executives development center has achieved great response from various business firms executives and managers and also achieved a satisfactory margin ( Tk. 175508) within a short time. So the entrepreneurs of Bangladesh can establish this business with a little capital focusing on the following motto

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Contact us:
House#58, Road# 5 O.R. Nizam R/A, East Nasirabad, CTG. Cell: 01818978043. 01912512027. 01816250499. 01818188953. E-mail: especially maks @ gmail. com

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