Budgeting and Variance Analysis at Microsoft

• Values:

• Budgeted Sales Revenue: $5,000,000
• Actual Sales Revenue: $4,800,000
• Budgeted Expenses: $3,000,000
• Actual Expenses: $3,200,000
• Requirements:

0. Calculate the sales revenue variance and expense variance for Microsoft.
1. Analyze the variances and their implications for Microsoft’s performance.
2. Discuss the role of budgeting and variance analysis in financial management.
3. Recommend strategies to improve budgeting and variance analysis at Microsoft.