Internal Operations And Revenue Growth Concerning Lambeth Custom Cabinets
852 WordsApr 4, 20164 Pages
Mr. Jack Lambeth,
This letter is intended for accounting information purposes and or suggestions for internal operations and revenue growth concerning Lambeth Custom Cabinets. This letter will be summarizing the results that we have concluded in our investigation regarding Lambeth Custom Cabinets. This letter contains sensitive and confidential financial information that is only to be viewed by Mr. Jack Lambeth. We hope that the information about to be presented will benefit Lambeth Custom Cabinets and assist in the growth of the company. Any questions or concerns regarding this letter, please feel free to call my office or email me at any time.
As Certified Public Accountants, my staff and I were able to construct numerous financial statements (income statement, balance sheet, journal entries, job cost sheets and variable costing structures) that can illustrate a clearer description on how revenues and expenses relate to each other based on product output and input, as well as how direct labor and overhead can have a great impact on the company’s net income and operating income.
Our results and conclusions are based on information that was presented to my team at the companies ending fiscal year, which was September 30th 2016. During the company’s fiscal year, we concluded that revenues were recorded at $20,475 with variable expenses amounting to $7,695 and total fixed costs being recorded at $6,710, therefore calculated operating income resulting in a positive