Assuming the student is a Chief Executive Officer of XYZ Company Limited who has received the company's Master budget plan for the next year as per the attached file. Being the top executive in the organization, you assume a duty of planning the company’s performance and ensuring the company budgets are correspond to the company’s objectives.

A student is required to use financial accounting and managerial accounting knowledge to analyze the budget and write a report/proposal to get approval from the company’s board of directors. The report will describe whether you are satisfied with the budget and why. If not, specify how to improve the budget plan.

Company’s background

XYZ Company Limited was established 15 years ago and the shareholders are among the family members. The company's directors consist of second-generation heirs who have an overseas education background.

XYZ has been focused on one and only high-end consumer product which possesses the unique characteristic to cater to one specific group of customers. Though the demand for the product is limited and gradually grows over the year, the company is able to maintain 70 percent of the market share.

In order to ensure the company's liquidity position, the management maintains a policy to keep the cash balance at the end of the accounting periods for an amount not less than USD. 300,000.

								XYZ CO.Ltd
								Sales Budget
								For the year ended 2022
						Q1	Q2	Q3	Q4		Total
Product A
Sales unit						11,000	11,000	12,000	12,000		46,000
Unit price						90.00	90.00	85.00	85.00
Total amount						990,000.00	990,000.00	1,020,000.00	1,020,000.00		4,020,000.00