2) Based on the following information from a commercial company, prepare the following budgets for the months of April and May. • Sales budget and portfolio collection • Shopping budget • Purchase budget and payment to suppliers • VAT budget x pay. The Hermanos Montiel company markets food and groceries and knows that March sales were $120,000,000 and it is projected to increase them by 5% and 8% for the months of April and May respectively. The company's sales policy is to pay 20% cash and finance the balance in 30 days. The merchandise is from national suppliers which offer 85% credit to pay in 30 days. The contribution rate with which the company works is 20% and the inventory policy is to maintain stocks for 18 days. VAT taxes are paid four-monthly and correspond to 19%. The following is the Balance Sheet as of March 31, 2023
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.
2) Based on the following information from a commercial company, prepare the following budgets for the months of April and May.
• Sales budget and portfolio collection
• Shopping budget
• Purchase budget and payment to suppliers
• VAT budget x pay.
The Hermanos Montiel company markets food and groceries and knows that March sales were $120,000,000 and it is projected to increase them by 5% and 8% for the months of April and May respectively.
The company's sales policy is to pay 20% cash and finance the balance in 30 days. The merchandise is from national suppliers which offer 85% credit to pay in 30 days.
The contribution rate with which the company works is 20% and the inventory policy is to maintain stocks for 18 days. VAT taxes are paid four-monthly and correspond to 19%.
The following is the Balance Sheet as of March 31, 2023
| Assets | |
| box | 200.000 |
| accounts receivable | 83.520.000 |
| inventories | 39.000.000 |
| Total Current Assets | 122.720.000 |
| machinery and equipment | 18.000.000 |
| -5.800.000 | |
| Total Fixed Assets | 12.200.000 |
| Total Assets | 134.920.000 |
| Passives | |
| accounts payable to suppliers | 50.700.000 |
| interest payable | 600.000 |
| income taxes payable | 6.800.000 |
| VAT payable | 6.520.000 |
| Laboral obligations | 3.209.010 |
| Total current liabilities | 67.829.010 |
| financial obligations L.P | 20.000.000 |
| Total passive | 87.829.010 |
| heritage | |
| social capital | 10.000.000 |
| Bookings | 4.560.000 |
| 32.530.990 | |
| Total heritage | 47.090.990 |
| Total Passives+heritage | 134.920.000 |
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