Pokeman Bunch Incorporated, manufactures Poke Monster figures and has the following data from its operation for the year just completed. Actual A Flexible Budget B Master Budget Units 1,680 1,380 Sales (dollars) $ 108,000 C $ 22,500 F Variable cost E $ 70,380 Contribution Margin $ 2,100 U D Fixed cost F $ 5,150 Operating income 28,400 The amount E is:
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.
Pokeman Bunch Incorporated, manufactures Poke Monster figures and has the following data from its operation for the year just completed.
| Actual | A | Flexible Budget | B | ||
|---|---|---|---|---|---|
| Units | 1,680 | 1,380 | |||
| Sales (dollars) | $ 108,000 | C | $ 22,500 F | ||
| Variable cost | E | $ 70,380 | |||
| Contribution Margin | $ 2,100 U | D | |||
| Fixed cost | F | $ 5,150 | |||
| Operating income | 28,400 |
The amount E is:
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