Project A Project B Project C Project D Table 1: The Planned Value of Work Done Schedule Feb March Jan 60,000 100,000 120,000 100,000 80,000 120,000 80,000 80,000 70,000 120,000 120,000 100,000 Project Based on the data obtained from each project, you have found out the value of work done on the 31st of March, which is shown in Table 2 below. A B C D Table 2: The Actual Value of Work Done and Direct Cost Incurred as of the 31st of March April 120,000 140,000 90,000 120,000 Actual Value of Work Done 300,000 250,000 250,000 280,000 May 200,000 140,000 100,000 150,000 Direct Cost Incurred 220,000 180,000 200,000 240,000 Each project is supposed to contribute 10% profit and 8% overhead to the company. You are requested to present to the company the turnover as of the 31st of March. Prepare your answer by answering the following questions. (a) Calculate the planned value of work. done, the total planned overhead and the total profit contribution from all the projects as of the 31st of March. b) Calculate the actual value of work done. and the total actual profit contribution from all the projects as of the 31st of March. c) Analyse planned and actual nett profit contribution of all the projects as of the 31st of March, and comment on the status of the projects. on the variance between the
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
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