1. **Problem Statement:** Alicia needs to prepare financial reports (cash flow statement, balance sheet) and a non-financial report to support her grant application. 2. **Calculate Net Income (Profit or Loss):** - Total Money IN (Revenue): $10,800 + 1,450 + 600 + 150 = $13,000 - Total Money OUT (Expenses): $4,900 + 3,200 + 1,850 + 300 + 150 = $10,400 Net Income = Total Revenue - Total Expenses = $13,000 - 10,400 = $2,600 3. **Prepare Cash Flow Statement:** - Starting cash: $2,000 (bank) + $200 (cash-on-hand) = $2,200 - Cash inflows: $10,800 + 1,450 + 600 + 150 = $13,000 - Cash outflows: $4,900 + 3,200 + 1,850 + 300 + 150 = $10,400 - Ending cash = Starting cash + inflows - outflows = $2,200 + 13,000 - 10,400 = $4,800 4. **Prepare Balance Sheet:** Assets: - Bank: $2,000 - Cash-on-hand: $200 - Food stock: $200 - Equipment: $350 Total Assets = $2,000 + 200 + 200 + 350 = $2,750 Liabilities: - Parents' loan: $1,000 + $150 = $1,150 Equity (Owner's equity) = Assets - Liabilities = $2,750 - 1,150 = $1,600 5. **Ethical Financial Practices Paragraph:** "The Juice Hub maintains transparent and responsible financial management by promptly paying bills with bank cheques, accurately tracking all income and expenses, and responsibly managing loans. Alicia ensures all financial records are up-to-date and honest, reflecting the true state of the business to stakeholders and grant committees." 6. **Non-Financial Report Paragraph:** "The Juice Hub actively contributes to community wellness by offering a 10% student discount, partnering with a local food bank to donate unused produce, hiring youth from the recreation centre’s job-skills training program, and using environmentally friendly compostable cups and paper straws. These initiatives demonstrate a commitment to social responsibility and sustainability." 7. **Summary:** - Alicia is making a profit of $2,600 last month. - She should monitor expenses like produce and payroll closely to avoid overspending. - Tracking cash flow and liabilities carefully will help maintain financial stability. This comprehensive reporting will support Alicia's grant application by showing financial health and community impact.