Budgeted sales are estimated sales dependant on marketing research studies or past customer demands.
Sales budget is the starting point of budgeting process because it provides the all important figure of budgeted sales data for production budgets and for all other budgeted financial statements.
Budgeted income statement is prepared at the last after preparing all other budgets and sales budget is the starting point of budgeting process.
Budgeted sales = 10000 * 25 = 250000 breakeven sales = 550000 margin of safety = 550000 - 250000 = -300000
fixed percent times preceding year's budgeted sales
It means that actual sales are 50K less then what set by management budgeted at planning or budgeting stage.
Budgeted sales are estimated sales dependant on marketing research studies or past customer demands.
Sales budget is the starting point of budgeting process because it provides the all important figure of budgeted sales data for production budgets and for all other budgeted financial statements.
Budgeted income statement is prepared at the last after preparing all other budgets and sales budget is the starting point of budgeting process.
for profit.........
Budgeted sales = 10000 * 25 = 250000 breakeven sales = 550000 margin of safety = 550000 - 250000 = -300000
fixed percent times preceding year's budgeted sales
It means that actual sales are 50K less then what set by management budgeted at planning or budgeting stage.
Sales revenue (5000 * 10) 50000Less:Variable Cost (5000 * 5) 25000Contribution margin 25000Less:Fixed Cost 12000Operating Income 13000
Budgeted gross profit is the expected profit amount before the start of production run while actual gross profit is the actual amount of profit which company earns after the production and sales of product.
To do a budgeted income statement for a merchandising firm you will need to look over their sales budget and cash budget. You will also need to prepare a finished goods inventory and come up with an administrative expense budget.?æ
budgeted depreciation
budgeted unit sales - beginning merchandise inventory + desired merchandise ending inventory.