Managing Finance and Accounts
By: Fonta • Coursework • 302 Words • November 10, 2009 • 1,711 Views
Essay title: Managing Finance and Accounts
Post Graduate Diploma in Management studies
2003-2004 Year 2
Managing Finance and Accounting
Tutor: Ian Andrews
Module Title: Managing Finance and Accounting
Student:
Date: June 2004
CONTENTS
1 Cash Budget for July - October
2 Forecast Productions for three-month period
2.1 Actual Production for three-month period
2.2 Potential reasons for variation
2.3 Recommendations
1 Prepare a cash budget for the four months July - Oct
Task 2
JULY AUGUST SEPTEMBER OCTOBER
Ј Ј Ј Ј
RECIEPTS
Capital Introduced 300,000
Debtors 285,000 440,700 567,870 583,110
Total Receipts for the month 585,000 440,700 567,870 583,110
PAYMENTS
LabourWages paid end of each month Ј10 per unit) 95,000 93,000 99,000 100,000
Stock/materials 57,465 164,715 176,370 189,925
Creditors syndicate lenders loan 60,000 60,000 60,000
Overheads 47,500 46,500 49,500 50,000
Depreciation Ј5 per unit 47,500 46,500 49,500 50,000
Administration 28,500 27,900 29,700 30,000
Marketing 19,000 18,600 19,800 20,000
Capital Expenditure 50,000
Total Payments for the month 294,965 457,215 483,870 549,925
Net Cash Flow (receipts less payments)
Bank Balance close of previous month 50,000 340,035 323,520 407,520
Bank Balance 340,035 323,520 407,520 440,705
2 Forecast Production for three-month Period
Task 3
Activity level (units)
4000 5000 6000 7000 8000
Direct Materials 80,000 100,00 120,000 140,000 160.000
Direct Labour 50,000 62,500 75,000 87,500 100,000
Power 18,000 18,000 18,000 21,000 24,000
Repairs 20,000 22,500 25,000 27,500 30,000
Supervision 20,000 24,000 28,000 32,000 36,000
Rent and rates 9,000 9,000 9,000 9,000 9,000
Insurance 15,000 17,500 20,000 22,500 25,000