Manage Finance: Budget, Financial Viability, Allocation of Funds, Risk Management

MANAGE FINANCE

TABLE OF CONTENTS
ASSESSMENT TASK 1 ................................................................................................................1
Part 1 ...........................................................................................................................................1
PART 2........................................................................................................................................3
Task 2 – Knowledge Questions.......................................................................................................6
Question 1....................................................................................................................................6
Question 2....................................................................................................................................6
Question 3....................................................................................................................................7
Question 4....................................................................................................................................7
Question 5....................................................................................................................................7
REFERENCES................................................................................................................................9

ASSESSMENT TASK 1
Part 1
Budget
Jan Feb Mar Apr May Jun
Receipts
Opening bal 15000 7040 5820 6021.4 5451.678 6813.25306
Sales
Cash 21000 22050 23152.5 23847.08 24562.49 25299.36
Credit 35000 36750 38587.5 39745.13 40937.48 42165.60
Interest received 500 500 500 500 580 580
Rent Income 175 175
Costs and fees 240 254 270.00 250.00 255.00 280.00
Total Receipts 56740 59554 62685 64342.2 66334.966 68499.96
Payments
Inventory Purchases
40.00% 8000 8400 8820 9261.00 9538.83 9824.99
60.00% 11000 11550 12127.5 12733.9 13115.9 13509.4
Office Equipments 5000 2500
Gen operating & admin.
Expenses 9000 9180 9363.60 9550.87 9741.89 9936.73
Wage expenses 9000 9450 9922.5 10220.2 10526.8 10842.6
Interest 1150 1150 1150 1150 1150 1150
Fixed Expenses 1500 1500 1500 1500 1500 1500
Sales promotion 300 300 300 350 350 350
Salaries 6000 6000 6000 6000 6000 6000
Rent 150 150 150 150 150 150
Employee benefits 8000 8000 8000 8000 8000 8000
Staff Training 1200 1200 1200 1200 1200 1200
Service programs for
clients 600 800
Income taxes 3800 3894 3950 3996 3700 3756
Total Payments 64700 60774 62483.6 64911.92 64973.39 68719.67
Balance -7960 -1220 201.4 -569.72 1361.58 -219.71
Closing balance 7040 5820 6021.4 5451.68 6813.25 6593.54
Budget Continued...
Budget
1

Jul Aug Sep Oct Nov Dec Total
Receipts
Opening bal 6593.54 11196.41 16215.69 19204.87 28361.01 37376.87
Sales
Cash 26817.32 28426.36 30131.94 30734.58 31349.28 31976.26 319347.2
Credit 44695.54 47377.27 50219.91 51224.31 52248.79 53293.77 532245.3
Interest
received 580 580 600 600 600 600 6720
Rent Income 175 200 725
Costs and
fees 285.00 260.00 240.00 254.40 240.00 220.00 3048.4
Total
Receipts 72377.86 76643.63 81366.85 82813.28 84438.06 86290.02 862085.87
Payments
Inventory
Purchases
40.00% 10119.74 10726.93 11370.55 12052.78 12293.83 12539.71 122948
60.00% 13914.6 14749.5 15634.5 16572.6 16904.0 17242.1 169054
Office
Equipments 6000 2000 15500
Gen
operating &
admin.
Expenses 10135.46 10338.17 10544.93 10755.83 10970.95 11190.37 120709
Wage
expenses 11493.1 12182.7 12913.7 13172.0 13435.4 13704.1 136863
Interest 1150 1150 1150 1150 1150 1150 13800
Fixed
Expenses 1500 1500 1500 1500 1500 1500 18000
Sales
promotion 285 285 290 250 250 250 3560
Salaries 6000 6000 6000 6000 6000 6000 72000
Rent 150 150 150 150 150 150 1800
Employee
benefits 8000 8000 8000 8000 8000 8000 96000
Staff
Training 1200 1200 1200 1200 1200 1200 14400
Service
programs for
clients 1800 600 3800
Income taxes 3827 3542 3624 2854 2968 3179 43090
Total
Payments 67774.99 71624.36 78377.67 73657.15 75422.21 78105.29 831524
2