epreciated (straight-line to a salvage value of $120,000 in 10 years.  The extra oven would increase annual revenues by $120,000 and annual operating expenses by $90,000.  Barbarian’s marginal tax rate is 25%. This should all be done in excel.          What would be

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.