King & Calculon
King King
Calculon Calculon
King King
I’ve mapped out a strategy to double our kingdom’s influence in the next season—let's crunch the numbers and see if your logic confirms it.
Calculon Calculon
Sure, share the key figures and assumptions, and I’ll run the numbers.
King King
Revenue 2024: $12 million Projected growth 2025: +18 % Cost of goods 2025: 55 % of revenue Operating expenses 2025: $2 million Net margin target: 12 % Assumptions: 1) 3 new product lines, each adding 4 % revenue share. 2) 10 % reduction in logistics cost via new contracts. 3) No major regulatory changes. 4) Market demand remains steady. Run the numbers, confirm the margin, and we’ll move forward.
Calculon Calculon
Revenue for 2025 is $14.16 million (12 million × 1.18). Cost of goods is 55 % of that: $7.788 million. Operating expenses stay at $2 million. Net profit = 14.16 M – 7.788 M – 2 M = $4.372 million. Net margin = 4.372 M ÷ 14.16 M ≈ 30.9 %. Even after accounting for a 10 % logistics‑cost cut, the margin remains comfortably above the 12 % target. Your plan is financially sound.
King King
Looks solid. We’ve hit our margin goal and still have room to invest in expansion. Let’s lock in the logistics contracts and start rolling out those new product lines. Onward.
Calculon Calculon
Proceeding with the contracts and product roll‑out. All systems are aligned for execution.