Академический Документы
Профессиональный Документы
Культура Документы
Preparation of forecasts:
Preparation of budgets:
Forecast combinations:
While developing the budgets, through a Master Budget various
permutations and combination processes are considered and
developed. Based on this, establishment of the most preferred
one which will yield optimum benefits should be considered. All
the factor components should be identified which are likely to
cause disturbances while implementing the budgets
Substituting CA in [1],
= 96,250
Therefore,
= 1,78,750 – 96250
= Rs. 82,500
Sales Rs.5,00,000
Purchases Rs.3,50,000
Gross profit ratio (GP ratio) is the ratio of gross profit to net
sales expressed as a percentage. It expresses the relationship
between gross profit and sales.
= 70000 + 350000-35000
COGS = 385000 Rs.
= 450000 – 385000
= 500000 – 50000
= 450000 Rs.
= (65000/450000) X 100
= 14.4%
Balance Sheet
Effect on Working
Details Balance as on Capital
2002 2003 Increase Decrease
Liabilities
Sundry Creditors 9,000 5,000 - 4,000
Long term loans 0 5,000 5000
P&La/c 14500 24500 10000
23,50 34,50
Total liabilities [B] 0 0 10,000 9,000
Assets
Cash in Hand 4000 9000 5000
Sundry Debtors 16500 19500 3000
Stock 9000 7000 2000
Machinery 24000 34000 10000
Total Assets (A) 53500 69500 10000 2000
Income Statement
No. Of computers produced 100
No. Of computers sold 100
Unit selling price per
42000
computer
unit variable cost per
28000
computer
Sales revenue =No. Of
computers sold X unit 4200000
selling price
Less variable cost (100 X
-2800000
28000)
Less Fixed expenses -1400000
Profit or loss 0
Sales at present 50,000 units per annum. Selling price Rs.6 per
unit, Prime cost Rs.3 per unit. Variable overheads Re.1 per unit.
Fixed cost Rs.75, 000 per annum.
Solution:
= 80,000 / (6 – 4)
= 80,000 / 2
= Rs.2, 40,000
= (55,000 x 6) – 2,40,000
MOS = Rs.90,000
c) Variable cost per unit will remain constant during the relevant
volume range of graph