Master Budget for COCO Cake LTD.
for 2021-2022 (Octo
1 Unit= 25 Batch
Sales Budget:
In order to prepare the sales budget, I had to assume few things. At first, I have assumed the budgeted sales unit for each month and mu
expense. It has to be noted that, I have calculted the per unit selling price and each unit consists of 25 batches of Chocolate Cake.
Sales Budget Month October November December January
Budgeted Sales (Unit) 4000 4500 5000 4100
Selling Price per 25 Batch 23919 23919 23919 23919
Total Sales 95676000 107635500 119595000 98067900
Direct Material Budget
As I own a home based business, my production will be equal to my sales. As a result, production budget is same as the budgeted sales.
budgeted DM cost, I multiplied the budgeted production and the DM cost. This budget gives an idea of the raw materials that must be p
Direct Material Budget October November December January
Budgeted Production 4000 4500 5000 4100
DM cost/unit 3835 3835 3835 3835
Budgeted DM Cost 15340000 17257500 19175000 15723500
Manufacturing Overhead Budg
The Manufacturing budget consists of all costs of production other than direct material and direct labor. I have assumed the direct labou
Total MOH cost contains both fixed and variable MOH.
Manufacturing Overhead Budget October November December January
Budgeted Direct Labor Hour 500 505 510 512
Variable MOH Rate 8 9 10 11
Variable MOH Cost 4000 4545 5100 5632
Fixed MOH Cost 18000 18000 18000 18000
Total MOH Cost 22000 22545 23100 23632
Less: Depreciation 767 767 767 767
Cash Disbursements for MOH 21233 21778 22333 22865
Selling & Administration Budg
The selling and administrative budget relects the budgeted expenses for areas other than manufacturing. As this is a small business, ther
costs, delivery cost per unit and packaging cost per unit. In order to calculate the total variable S&A, I multiplied the per unit cost with
The selling and administrative budget relects the budgeted expenses for areas other than manufacturing. As this is a small business, ther
costs, delivery cost per unit and packaging cost per unit. In order to calculate the total variable S&A, I multiplied the per unit cost with
Selling & Administration Budget October November December January
Budgeted Sales 4000 4500 5000 4100
Variable S&A expense/unit 120 120 120 120
Budgeted variable S&A expense 480000 540000 600000 492000
Fixed S&A expenes 1120 1120 1120 1120
Total Budgeted S&A expenses 481120 541120 601120 493120
Cash Budget
I started my business with 700,000 and I borrowed 100,000 from one of my frined. Cash collection from customers is the 75% of the sa
cash budget. It should be mentioned that, ending cash of each month will be considered as the opening cash for the next or upcoming m
Cash Budget October November December January
Opening Cash budget 800,000 62,830,647 156,538,874 260,995,546
Collection from Customers 71757000 104645625 116605125 103449675
Total Cash Available 72,557,000 167,476,272 273,143,999 364,445,221
Less: Cash Disbursements
Direct Material Cost 9204000 10354500 11505000 9434100
Manufacturing Overhead Cost 21233 21778 22333 22865
Selling & Administration Cost 481120 541120 601120 493120
Dividend 20000 20000 20000 20000
Total Cash Disbursements 9726353 10937398 12148453 9970085
Ending Cash Budget 62,830,647 156,538,874 260,995,546 354,475,136
Budgeted Income Stat
For the year ended September 30, 2
Sales 1232067690
Cost of goods sold 275063400
Gross margin 957004290
Selling & administrative e 6194640
Net Income 950809650
Accounts Receivable 23919000 26908875 29898750
Accounts Payable 6136000 6903000 7670000
Budgeted Balance Sheet
For the year ended September 30, 2
ASSETS
Current Asset
Cash 1,081,845,435
Accounts receivable 26310900
Total Current Assets 1,108,156,335
Non Current Assets
Stove 25000
Gas 5000
Depreciation Cost 9204
Total Asset 1,108,177,131
Liabilites
Accounts payable 72404800
Loans 200000
Net Income 950809650
Retain Earning 84,522,681
Total Liabilities 1,108,177,131
LTD. for 2021-2022 (October 2021, - September 2022)
Sales Budget:
unit for each month and multiplied that amonut with the selling price. The selling price is the 200% markup of the variable
s of Chocolate Cake.
February March April May June July August September
4200 4300 4000 4250 4150 4300 4400 4310
23919 23919 23919 23919 23919 23919 23919 23919
100459800 102851700 95676000 101655750 99263850 102851700 105243600 103090890
Direct Material Budget
same as the budgeted sales. DM cost per unit consist of all the direct materials (flour, oli, butter, coco, chocolate etc) cost. For the
aw materials that must be purchased to fulfill the production budget.
February March April May June July August September
4200 4300 4000 4250 4150 4300 4400 4310
3835 3835 3835 3835 3835 3835 3835 3835
16107000 16490500 15340000 16298750 15915250 16490500 16874000 16528850
facturing Overhead Budget
ve assumed the direct labour hour and multiplied it we the assumed variable MOH rate in order to calculate variable MOH cost.
February March April May June July August September
515 500 520 525 530 520 510 525
12 13 14 15 16 17 18 19
6180 6500 7280 7875 8480 8840 9180 9975
18000 18000 18000 18000 18000 18000 18000 18000
24180 24500 25280 25875 26480 26840 27180 27975
767 767 767 767 767 767 767 767
23413 23733 24513 25108 25713 26073 26413 27208
g & Administration Budget
his is a small business, there is no different department responsible for selling and administratives. Variable S&A consists of 2
plied the per unit cost with budgeted sales. Total S&A expense is the addition of both fixed and variable S&A cost.
February March April May June July August September
4200 4300 4000 4250 4150 4300 4400 4310
120 120 120 120 120 120 120 120
504000 516000 480000 510000 498000 516000 528000 517200
1120 1120 1120 1120 1120 1120 1120 1120
505120 517120 481120 511120 499120 517120 529120 518320
Cash Budget
tomers is the 75% of the sales. From the total cash available, I deducted all kinds of cost and the 20,000 dividend to get the ending
for the next or upcoming month.
February March April May June July August September
354,475,136 444,124,228 535,922,800 623,663,092 713,488,427 803,256,269 894,753,513 988,699,205
99861825 102253725 97469925 100160812.5 99861825 101954737.5 104645625 103629067.5
454,336,961 546,377,953 633,392,725 723,823,905 813,350,252 905,211,006 999,399,138 1,092,328,273
9664200 9894300 9204000 9779250 9549150 9894300 10124400 9917310
23413 23733 24513 25108 25713 26073 26413 27208
505120 517120 481120 511120 499120 517120 529120 518320
20000 20000 20000 20000 20000 20000 20000 20000
10212733 10455153 9729633 10335478 10093983 10457493 10699933 10482838
444,124,228 535,922,800 623,663,092 713,488,427 803,256,269 894,753,513 988,699,205 1,081,845,435
Budgeted Income Statement
year ended September 30, 2022
24516975 25114950 25712925 23919000 25413937.5 24815962.5 25712925 26310900
6289400 6442800 6596200 6136000 6519500 6366100 6596200 6749600
year ended September 30, 2022
