Victoria Kite Company Master Budget

ACG420- Managerial Accounting & Organizational ControlsVictoria Kite CompanyMaster cipher history a- perfect(a) revenue Budget DecemberJanuaryFebruaryMarchJan-Mar TotalSales Budget Credit Sales - speed of light%$25,000.00$62,000.00$70,000.00$38,000.00$170,000.00Plus bullion Sales - 0 % Total Sales$25,000.00$62,000.00$70,000.00$38,000.00$170,000.00 Schedule b: Cash collections from customers DecemberJanuaryFebruaryMarch TotalCash Sales $25,000 $62,000 $70,000 $38,000 $170,000Collections from prior month$25,000 $62,000 $70,000 $38,000 $170,000Total Collections$50,000 $124,000 $140,000$76,000$340,000Schedule c- Purchases Budget DecemberJanuaryFebruaryMarchDesired final result pedigree 39050600060006000Plus cost of goods sold$12,500.00$31,000.00$35,000.00$19,000.00Total need$51,500.00$37,000.00$41,000.00$25,000.00Less beginning inventory$16,000.00$39,050.00$8,050.00$6,000.00Total purchases3555003295019000Schedule d - Cash disbursements for purchases N ovemberDecemberJanuaryTotalFor October$35,550.00$35,550.00For November$0.00$0.00$0.00For December$32,950.00$32,950.00$65,900.00For January$19,000.00$19,000.00Total disbursements$35,550.00$32,950.00$51,950.00$120,450.00Schedule e: Operating depreciate budget JanuaryFebruary March recompense (fixed)$15,000.00$15,000.00$15,000.00Misc expenses$2,500.00$2,500.00$2,500.00Rent (fixed)$250.00$250.00$250.00Rent (variable, 10% of sales over 10,000)$5,200.00$6,000.00$2,800.00 redress expired (fixed)$125.00$125.00$125.00Depreciation (fixed) $250.00$250.00$250.00Total$23,325.00$24,125.00$20,925.00Schedule f : Disbursements for operating(a) expenses JanuaryFebruaryMarch wagement (fixed)$15,000.00$15,000.00$15,000.00Cash dividends (quarterly fixed)$1,500.00Misc expenses$2,500.00$2,500.00$2,500.00Misc fixtures $3,000.00Rent (fixed)$250.00$250.00$250.00Rent (variable, 10% of sales of 10,000)$5,200.00$6,000.00$2,800.00 indemnity expired (fixed)$125.00$125.00$125.00Depreciation (fixed) $250.00$ 250.00$250.00Total disbursements $5,825.00$! 6,625.00$8,925.00Cash Budget JanuaryFebruaryMarchBeginning currency match$5,000.00$5,000.00$7,083.00Minimum money sense of symmetricalness desired$5,000.00$5,000.00$5,000.00Available coin balance$0.00$0.00$2,083.00Cash receipts and disbursementsCollections from customers$124,000.00$140,000.00$76,000.00Payments for ware$31,000.00$35,000.00$19,000.00Operating expenses$23,000.00$24,000.00$20,000.00Equipment purchases$0.00$0.00$3,000.00Dividends$1,500.00$0.00$0.00Net change receipts & disbursements$68,175.00$80,875.00$33,075.00Ending cash balance $68,175.00$80,875.00$30,992.00Balance Sheet Assets Current Assets:Cash$5,000.00Accounts Receivable$12,500.00Inventory$39,050.00Unexpired Insurance$1,500.00Fixed Assets, net$12,500.00$12,500.00Total Current Assets$70,550.00Fixed Assets:Fixtures$3,000.00Total Fixed Assets:$3,000.00Total Assets73,550.00Liabilities Current Liabilities:Accounts Payable (merchandise)35,550.00Dividends Payable1,500.00Rent Payable7,800.00Accrued W ages Payable15,000.00Total Current Liabilities:59,850.00Total Liabilities59,850.00 Part IIThe guild needs a wreak when the ending cash balance + net cash and disbursements + monetary support have a positive effect on the cash balance (Burgstahler, Horngren, Schatzberg, Stratton, & Sundem, 2008). Some merchandise much(prenominal) as snow skies or swimsuits have seasonal peaks. Companies whitethorn bob up themselves short of available cash for merchandise purchases to fill the company?s demand during these peaks. In this reason they can usurp money to fill their consumer?s demands and pay it back at a later time when the seasonal profits add up in. This al pitifuls the company to deem just-in-time deliveries even if their profits have been low in the precedent seasons. ReferencesHorngren, Charles T., Sundem, Gary L., Stratton, William O., Burgstahler, David, Schatzberg, Jeff (2008). Introduction to Management Accounting (14th ed.). If you lack to get a full essay, order it on! our website: OrderEssay.net

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