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sales and overheads

05 / 03 / 2018 Assignment

This paper circulates around the core theme of sales and overheads together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 119. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.

Task 1:  INDIVIDUAL ACTIVITY

 

Included in the file are:  a summary budget profit statement for sales and overheads and information for the preparation of a cash budget plus other financial data.

 

Summary budget profit statement for sales and overheads

 

You must outline the use of variance analysis and compare actual with budgeted figures providing possible explanations for variances. 

 

Cash budget

 

Information for the preparation of a cash budget is included – draw up and analyse the cash budget using Microsoft Excel and produce some relevant charts of the data to aid your analysis/discussion.  .  

 

You are to:  

Analyse the budgets provided (variance and cash flow) and make appropriate decisions.  Your analysis should be presented in a formal report format.

(This provides evidence for LO3 –Assessment criteria 3.1)

 

 

Task 2:  INDIVIDUAL ACTIVITY

 

Using the costings provided, you must:

 

Explain the calculation of unit costs and make pricing decisions for your product(s):

 

• Calculate the unit cost of your product;

 

• Calculate 2 possible selling prices to be quoted for the product assuming a mark-up  margin of  50% and 70%  on cost price.

 

• Compare prices and identify which selling price you are going to charge.  Explain your reasons with reference to pricing strategies.

 

• Calculate the total sales revenue using both the percentages.

 

(This provides evidence for LO3 – Assessment criteria 3.2)

 

 

 

 

 

Task 3:  INDIVIDUAL ACTIVITY

 

Demand for your products has increased since you started the business.  You must now purchase a new cutting machine that incorporates CAD and CAM and additional production features.   The machine will cost £90,000.  Explain what project appraisal is and Assess the viability of the project using investment appraisal techniques and provide a review of each of the techniques used.

 


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