FNSACC503 Assessment Task On Manage Budgets And Forecasts

PART B

Task 1 Retail industry – Purchases budget

This task required the preparation of a Purchases Budget for the quarter July to September for E-Readers.

One section in your formula/s could be improved by instead of typing the % required in (0.85), linking this back to the data sheet. This way, any amendment is only required on the data sheet rather than in multiple locations.

Cost of Sales is to be 50% of the expected Sales Forecast in the first row of data. For example if July Sales = 72,400 x 50% = ?.

Closing Stock is calculated as being 85% of the Cost of expected sales for the next month. So if Augusts Cost of sales is expected to be 36,900 x 85% = ? for July’s expected Closing Stock. Recall that the Closing Stock becomes the Opening Stock in the following period.

Opening Stock is going to be the same value as the prior months Closing Stock. For example if we know that July’s Closing Stock is, then Augusts Opening Stock is going to be this value as well.

In the “Total column – Closing Inventory” this is the Closing inventory for the Quarter being your last Inventory value known which is September. It is not the addition of all Closing inventories.

In the “Total column – Opening Inventory” this is the Opening inventory for the Quarter being your first Inventory value known which is July. It is not the addition of all Opening inventories.