Prepare an annual budget for the fiscal year **Problem 2**Meals Company is a startup company producing and delivering boxed meals to tailgate parties. The company operates four months, September through December, during a fiscal year. Assume there are zero costs during the ensuing eight months. The company owner has forecasted the following sales and financial data for the upcoming fiscal year:- **Meal boxes sold:** 20,000 total boxes; the sales forecast for the meals sold by month follows: - **Forecast** - September: 5,000 - October: 5,000 - November: 8,000 - December: 2,000- **Meal box sales price:** $5.00- **Food cost:** $2.00 per box- **Wages:** - Food preparer: $10 per hour; 0.05 hours per box - Owner: $20,000 salary- **Utilities:** $1,000 + $0.10 per box- **Fuel:** $3.50 per gallon - 20 miles per gallon - 400 total miles driven delivering meals- **Facilities:** $4,000- **Miscellaneous:** $6,000**Required**(a) Prepare an **annual** budget for the fiscal year| | Annual Budget $ ||-----------------------|-----------------|| **Revenue** | || **Expenses** | || | || | || | || | || | || **Total Expenses** | || **NOI** | |The table is meant for calculating the annual budget by listing revenues, expenses, and resulting net operating income (NOI).

$5.00 Meal box sales price Food cost $2.00 per box Wages $10 per hour; 0.05 hours per box| $20,000 salary $1,000 + $0.10 per box $3.50 per gallon 20 miles per gallon 400 total miles driven delivering meals $4,000 $6,000 Food preparer Owner Utilities Fuel Facilities Miscellaneous Required (a) Prepare an annual budget for the fiscal year

$5.00 Meal box sales price Food cost $2.00 per box Wages $10 per hour; 0.05 hours per box| $20,000 salary $1,000 + $0.10 per box $3.50 per gallon 20 miles per gallon 400 total miles driven delivering meals $4,000 $6,000 Food preparer Owner Utilities Fuel Facilities Miscellaneous Required (a) Prepare an annual budget for the fiscal year

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Preparing a financial budget—budgeted balance sheet Use the following June actual ending balances and July 31, 2018, budgeted amounts for Omas to prepare a budgeted balance sheet for July 31, 2018. June 30, Merchandise Inventory balance, $17,770 July purchase of Merchandise Inventory, $4,400, paid in cash July payments of Accounts Payable, $8,400 June 30 Accounts Payable balance, $10,700 June 30 Furniture and Fixtures balance, $34,100; Accumulated Depreciation balance, $29,880 June 30 total stockholders’ equity balance, $28,020 July Depreciation Expense, $500 Cost of Goods Sold, 60% of Saks Other July expenses including income tax $2,000, paid in cash June 30 Cash balance, $11,600 July budgeted Sales, all on account, $12,690 June 30 Accounts Receivable balance, $5,130 July cash receipts from collections on account, $14,700 (Hint: It may be helpful to trace the effects of each transaction on the accounting equation to determine the ending balance of each account.)
please help with this capital expenditures budget
4. Prepare a cash budget by quarter and in total for next year.
Why is it important to make changes in the workings of the budget after considering the previous three quarters for the 4th quarter?
When gathering financial information, the entrepreneur should develop a budget that includes expected sales and expense figures for the first year. True or false
31
Prepare Cash Budget from Budgeted Transactions Prepare a cash budget for the month ended May 31, 2019. Campton Company anticipates a cash balance of $89,000 on May 1, 2019. The following budgeted transactions for May 2019 present data related to anticipated cash receipts and cash disbursements: 1. For May, budgeted cash sales are $65,000 and budgeted credit sales are $505,000. (Credit sales for April were $450,000.) In the month of sale, 40% of credit sales are collected, with the balance collected in the month following sale. 2. Budgeted merchandise purchases for May are $285,000. (Merchandise purchases in April were $240,000.) In the month of purchase, 70% of merchandise purchases are paid for, and the balance is paid for in the following month. 3. Budgeted cash disbursements for salaries and operating expenses for May total $170,000. 4. During May, $25,000 of principal repayment and $4,000 of interest payment are due to the bank. 5. A $20,000 income tax deposit is due to the federal…
1. The following is true of the operational budget, except for: Select one: a. It has a short-term focus, usually one-year b. It sets a plan for the purchase of assets c It is concerned with the cash effect of sales and expenses d. It contains a production budget
Record the entry for the annual budget at the beginning of the year. (General Fund) Record the end of year removal of budget entry. (General Fund)
What about preparing a schedule of expected cash disbursement for merchandise purchases, by month and the total and budgeted income statement for the three-month period ending June 30.
The City of Bedford Falls debt service fund budgeted $150,000 (2 payments of $75,000) for interest and an annual principal payment of $500,000. Funding will be transferred from the general fund at the time payments are to be made. Interest payments will be December 15 and June 15. Principal will be paid on June 15. Journalize the budget for July 1 Journal any necessary December 15 entry(ies) What is the amount of accrued interest to be recorded in the Debt Service Fund at June 30?
A flexible budget variance for November 2023 is the difference between the actual expense incurred in November and the amount budgeted at: The actual level of activity achieved in the previous period (October). The planned static budget for the next period (December). The original expected (planned) level of activity in November. The level of activity when operating at maximum capacity. The actual level of activity achieved in November. The original static budget for the previous period (October).