Develop Master Budget & Cost Centre Budget Part B: Contingency Plans

Running Head: Manage Budgets and Financial Plan
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Project Report: Manage Budgets and Financial Plan

Manage Budgets and Financial Plan 2
Part 1: Develop Master Budget & Cost Centre Budget
Part A: Master Budget
Que 1)
(Calculations have been given in appendix.)
Que 2)
(Calculations have been given in appendix.)
Part A.1: Cost Centre Budget
(Calculations have been given in appendix.)
Part B: Contingency plans
Through the information about changes in the company, a contingency plan has been
made for the managing director to outline those changes and their implementations in the
management of the company. Through the budgeting report of the company, it has been
analyzed that the various changes would taken place into the position and the performance of
the company (Gambacorta and Signoretti, 2014). This report depict about the changes and
their changes into the implementation management of the company to make a control over
the process and the performance of the company.
Company must be required to identify the changes and their impact over the business
firstly. This contingency plan depict that the company should manage those issues and their
impact and further, the policies and strategies must be iden6ified by the organization through
identifying and evaluating the changes (Bandy, 2013). According to the current changes,
company must work on its capacity and the price to make a control over the cost and enhance
the profit of the company.
PART C: BUDGET REVIEW & STRATEGIC PLANNING
Through the analysis and changes in the company, master plan of the company has
been prepared. Further, the actual and the budgeted figures of the company has been analyzed
and the variances have been evaluated to make a better decision about the performance and
the position of the company. Through the analysis, it has been found that the performance of
the company has been lower than the budgeted figures in all the quarters (Gali, 2015).

Manage Budgets and Financial Plan 3
Further, it has also been found that the variance rate of the company is almost similar
in all the quarter, so, the company is required to look over the main root of the variances and
work over it to enhance the profitability position and stability position of the company.
Further, through the revenues of the comapny, it has been found that the total variances of the
company are -6% in the financial year (Borio, 2014). This depict that the sales revenue of the
company has been lowered and thus the profitability position of the company has also been
lowered. Through the analysis, it has been found that the performance of the company has
been lower than the budgeted figures in all the quarters.
Further, the expenditure of the company has also been analyzed to identify the
performance of the company (Brigham and Ehrhardt, 2013). Through the total expenses
analysis of the company, it has been found that the budgeted figures are quite lower than the
actual figures which depict that the expenses of the company has been higher than the
expected. Contingency plan and their impact over the performance of the company have been
analyzed further to identify that how the company and its operations have been affected
(Grinblatt and Titman, 2016).
Through the study, it has been found that the contingency plan have positively
affected the operations of the business. this study express that this contingency plan has
improved the performance and the stability position of the company. through the variance
analysis, it has also been found that the performance of the company has been lowered in all
the quarters (Fernandes, Lynch and Netemeyer, 2014). The budgeted figures are quite
negative than the actual figures and affect the profitability position of the company.
Thus, through the above analysis, it has been found that the position of the company
has been affected and the budgeting report depict that management of the company is
required to work more over the position and performance to enhance the business and the
profitability position of the company.