Manage Budgets and Financial Plans

Manage Budgets
&
Financial Plans

Table of Contents
Task 1: Cash Flow Statement for Metropolitan Furniture...............................................................3
Answer (1):.............................................................................................................................3
Answer (2):.............................................................................................................................3
Answer (3):.............................................................................................................................5
Answer (4):.............................................................................................................................5
Answer (5):.............................................................................................................................5
Task 2: Report Financial Activities................................................................................................6
Task 3: Create Action Plan ...................................................................6
Task 4: Preparation of Cash Flow Statement ..................................................................................8
Task 5: Change Analysis and Decision Making..............................................................................8
Task 6: GST and Cash Flow Statement...........................................................................................9
Task 7: Cash Flow Outcome Analysis:............................................................................................9
Task 8: Petty Cash.........................................................................................................................10

Task 1: Cash Flow Statement for Metropolitan Furniture
Answer (1):
Profit and Loss calculations
April May June
$ $ $
Sales 290000 250000 280000
Less Cost of Goods
Sold (COGS) 130500 112500 126000
Gross Profit 159500 137500 154000
Sales Salaries 65000 65000 65000
Commission 1500 0 1000
Other expenses 35000 35000 35000
Total expenses 101500 100000 101000
Net Profit 58000 37500 53000
Answer (2):
Cash flow projections
April May June
$ $ $
Opening Cash 40000 109250 131750
Plus cash in:
This month 232000 200000 224000
From last month 25500 29000 25000
From two months ago 26500 25500 29000

Total Cash available 284000 254500 278000
Less cash out:
salaries 65000 65000 65000
Commission 1500
Other expenses 35000 35000 35000
COGS 114750 130500 112500
Total cash out 214750 232000 212500
Closing cash balance 109250 131750 197250