Making a Living in Clay: A Practical Guide to Starting a Building a ...

Note 7. Plant and Equipment
Plant and equipment consist of two types of assets, leasehold improvements to make ready a
production facility and equipment. All are to be purchased in 2007. Both types of assets are
being depreciated over a 10 year period using the straight-line method of depreciation. Each of
these two types of assets will be discussed individually.
Leasehold improvements, including installation of utilities and renovation of space
consist of the following: Equipment consists of the following:
Water: Plumber $ 1,000
Gas $ 1,000
Electrician $ 2,000
Flooring & outside shed $ 1,500
paint $ 200
Lighting fixtures $ 1,000
Rennovation interior walls $ 2,000
shelving &intall heater $ 1,000
Total $ 9,700
Kiln $ 4,000
Tables $ 500
Scales $ 300
Molds- initial set-up $ 5,000
Tools $ 200
Pugmill $ 2,000
Glaze Materials $ 800
Potter's Wheel $ 1,500
Total $ 14,300
Note 8. Common Stock
100% of La Loca Chica Pottery LLC common stock ($1 par value, 8,500 shares pending issue,
25,000 shares authorized) is owned by Lisa Marie Miller. Shares pending issue will be paid
with a combination of cash ($2,000), inventories ($5,000), and equipment ($1,500).
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