1 Acct 292- Managerial Accounting 2 Summer 2 -2015 4 Master Budget Problem 6 Susan's Sensational Sunflower Seed Snacks had 7 Now Susan wants to plan for 2015 to insure the company stays on course and 8 can adapt to changing situations a super year in 2014 10 Your task is to prepare three different scenarios based on 2014 information and 11 the assumptions below 12 13 2014 information for the entire vear: 14 15 Sales 16 17 Cost of Goods Sold 18 19 Gross Profit 20 Most-Likely Best Case Worst Case $5,000,000 $2,250,000 $2,750,000 21 Marketing Expenses 22 Variable 23 Fixed 24 Total Marketing Exp 25 26 Operating Expenses $ 250,000 $ 300,000 550,000 26 Oerting Expenses 27 Variable 28 Fixed 29 Total Operating Exp 30 31 Net Income 32 $ 400,000 $ 600,000 $ 1,000,000 $1,200,000 34 Scenario #1-Most-Like! 35 I. Sales increase by 15% 37 2. Fixed Costs remain the same 383 Variable Costs % stay the same (5% & 8% of sales)