Can I have some assistance-PowerPoint presentation to assist the Controller in a presentation to the Board of Directors.The topic is the"an effective budget system".11-15 slides.

A)The key characteristics of an effective budget system.

B)The steps to prep a master budget.

C)How a flexible budget will assist management in evaluating performance at the end of an accounting period.

include notes please and charts from excel file to demonstrate master budget and flexible budget.

Basic Assumptions for Master Budget 2015 Sales volume increase (units): Wholesale prices of cars increase (dollars): Production costs in all categories increase: Ending inventory units Decrease: 6.635 $ 21,185.53 $ 18,695.00 0.228 Cost of sales comprised of: Direct materials (70%) Direct labor (10%) Variable manufacturing overhead costs (10%) Fixed manufacturing costs (10%) S, A, and O expenses increase S, A, and O fixed costs (70%) Variable S, G and O costs (30%) $ $ $ $ $ $ $ Changes 10% 0.50% 86,829 1% 12,404 1% 12,404 1% 12,404 2% 10,502 No change 7,351 3% 3,151 4% Basic assumptions underlying the Alternative M 2015 Sales volume units increase (in millions): Sales prices increase: Average unit cost of an automobile decrease Selling and administrative variable costs increase: Selling and administrative fixed costs decrease: Production units increase: Fixed manufacturing overhead decrease 6.635 $ 21,185.53 $18,694.95 $3,151 $7,351 6.674 $12,404 Changes 15% 5% -2% 5% -10% 15% -5% dget 2016 Results after Change $ 7.2985 21,291.46 $ $ $ $ $ $ $ 87,696.99 12,528.14 12,528.14 12,652.18 10,502 7,571.53 3,277.04 2016 Results after Change $ 7.6303 22,244.81 $18,321.05 $3,308.6 $6,615.90 7.675 $11,783.80 Related Data Production volume units (in millions): Global sales volume units (in millions): Cost of sales (in millions): Revenue: Selling, general, and administrative expenses: Average selling price per vehicle Average production costs of automobile Beginning inventory (in millions): Ending inventory (in millions): Source: Ford Motor Company 2015 Annual Report Basic Assumptions underlying the Flexible Budget Direct Materials per vehicle Direct labor per vehicle Varable manufacturing overhead per vehicle Fixed manufacturing overhead @ 10% of COGS Variable SGA Fixed SGA @ 70% of SGA Expense a $ $ $ $ $ $ $ 2015 6.674 6.635 124,041 140,566 10,502 21,186 18,695 5 5 Annual Report the Flexible Budget 2015 Traditional Income Statement: Automotive Division (in millions) Revenues Costs and expenses Cost of sales Selling, administrative, and other expenses Total costs and expenses Net Profit Automotive interest expense Automotive interest income and other income Equity in net income of affiliated companies Income(Loss) before income taxes-Automotive $ 140,566.00 $ 124,041.00 $ 10,502.00 $ 134,543.00 $ 6,023.00 $ 773.00 $ 1,188.00 $ 1,818.00 $ 8,256.00 2015 Contribution Format Income Statement: Automotive Division (in millions) Revenue Less variable cost of goods sold Gross Contribution margin Less variable selling, administrative and other expenses Contribution Margin Less fixed expenses Net profit Automotive interest expense Automotive interest income and other income Equity in net income of affiliated companies Income(Loss) before income taxes-Automotive $ 140,566 $ 111,637 $ 28,929 $ 3,151 $ 25,778 $ 19,755 $ 6,023 $ 773 $ 1,188 $ 1,818 $ 8,256 Schedule One Sales Budget (in millions) for Master Budget Units Automotive Total Selling Price Total Revenues 7.299 $ 21,291.46 $ 155,396 edule Four: Direct Manufacturing Lobor Costs Budget (in Millions) Budeted Cost of Direct $ 12,528 Schedule 7 Budgeted Cost of Goods Sold Direct Material Direct Labor Factory Overhead Total Manufacturing Cost Add Beg Finished Inventory Less End Inventory Cost of Goods Sold $ $ $ $ $ $ 87,696.99 12,528.14 25,180.32 125,405.45 0 93,960.82 31,444.63 Schedule Two: Production Budget Budgeted unit sales Add target ending finished goods inven Total required units Deduct beginning finished goods inven Units of finished goods to be produced 7.299 5.026 12.325 5.026 7.299 Schedule Five: Manufacturing Overhead Costs Budget Variable manufacturing overhead $ Fixed manufacturing overhead costs $ Total manufacturing operations overhead c $ 12,528.14 12,652.18 25,180.32 Schedule 8: Master/Static Budget Sales Less variable manufacturing costs Less variable selling and administrative co Total variable costs Contribution Margin Less fixed manufacturing costs Less fixed selling and administrative costs Total fixed costs Operating Income $ 155,395.70 $ 112,753.27 $ 3,277.04 $ 116,030.31 $ 39,365.39 $ $ 12,652.18 7,571.53 $ $ 20,223.71 19,141.68 Schedule Three: Direct Materials Purchases Budget Budgeted cost of direct materials $ 87,696.99 Schedule Six: Selling, General, and Administrative Budget (in millions) Variable Costs Fixed Costs Total $ 3,277.04 $ 7,571.53 $ 10,848.57 Schedule One Sales Budget (in millions) for the Alternative Master Budget Units Automotive Total Selling Price Total Revenues 7.6303 $ 22,244.81 $ 169,733.43 Schedule Four: Direct Manufacturing Lobor Costs Budget (in Millions) Budeted Cost of Direct Labor $ 12,156.02 Schedule 7 Budgeted Cost of Goods Sold Direct Material Direct Labor Factory Overhead Total Manufacturing Cost $ $ $ $ 85,092.13 12,156.02 24,061.47 121,309.62 Add Beg Finished Inventory Less End Inventory Cost of Goods Sold $ $ $ 98,223.27 79,905.92 139,626.97 Schedule Two: Production Budget Budgeted unit sales Add target ending finished goods inve Total required units Deduct beginning finished goods inven Units of finished goods to be produced 7.630 5.026 12.656 5.254 7.402 Schedule Five: Manufacturing Overhead Costs Budget Variable manufacturing overhead $ Fixed manufacturing overhead costs $ Total manufacturing operations overhead $ 12,277.58 11,783.90 24,061.47 Schedule 8: Alternative Master Budget Sales $ Less variable manufacturing costs 109,525.72 Less variable selling and administrative c $ 3,308.55 169,733.43 Total variable costs Contribution Margin Less fixed manufacturing costs $ Less fixed selling and administrative cost $ Total fixed costs Operating Income $ $ 112,834.27 56,899.16 $ $ 18,399.80 38,499.37 11,783.90 6,615.90 Schedule Three: Direct Materials Purchases Budget Budgeted cost of direct materials $ 85,092.13 Schedule Six: Selling, General, and Administrative Budget (in millions) Variable Costs $ Fixed Costs $ Total $ 3,308.55 6,615.90 9,924.45 . Schedule One Sales Budget (in millions) for Flexible Budget Units Automotive Total Selling Price Total Revenues 6.6510 $ 21,291.46 $ 141,609.48 Schedule Four: Direct Manufacturing Lobor Costs Budget (in Millions) Budeted Cost of Direct Labor $ 11,416.68 Schedule 7 Budgeted Cost of Goods Sold Direct Material Direct Labor Factory Overhead Total Manufacturing Cost Add Beg Finished Inventory Less End Inventory Cost of Goods Sold $ $ $ $ $ $ $ 79,916.79 11,416.68 24,068.87 115,402.34 98,223.27 79,905.92 133,719.69 Schedule Two: Production Budget Budgeted unit sales Add target ending finished goods inventory Total required units Deduct beginning finished goods inventory Units of finished goods to be produced Schedule Three: Direct Mate 6.651 5.026 11.677 5.254 6.423 Budgeted cost of direct mater Schedule Five: Manufacturing Overhead Costs Budget Schedule Six: Selling, Gene Variable manufacturing overhead $ Fixed manufacturing overhead costs $ Total manufacturing operations overhead costs $ Variable Costs Fixed Costs Total 11,416.68 12,652.18 24,068.87 Schedule 8: Flexible Budget Sales Less variable manufacturing costs Less variable selling and administrative cost Total variable costs Contribution Margin Less fixed manufacturing costs Less fixed selling and administrative costs Total fixed costs Operating Income $ 141,609.48 $ 102,750.15 $ 2,986.31 $ 105,736.46 $ 35,873.02 $ $ 12,652.18 7,571.53 $ $ 20,223.71 15,649.31 dule Three: Direct Materials Purchases Budget eted cost of direct materials $ 79,916.79 dule Six: Selling, General, and Administrative Budget (in millions) $ $ $ 2,986.31 7,571.53 10,557.84 Budget Units Sales Revenue Flexible Budget 7.299 6.651 $ 155,395.70 $ 141,609.48 $ Direct Material $ 87,696.99 $ 79,916.79 Direct Labor Variable Manufacturing Overhead $ 12,528.14 $ 11,416.68 $ 12,528.14 $ 11,416.68 Fixed Manufacturing $ 12,652.18 $ 12,652.18 Actual 6.651 151,800.00 Cost of Sales Total Costs of sales $ 125,405.45 $ 115,402.34 $ 126,584.00 S, A & O Fixed Costs $ 7,571.53 $ 7,571.53 Variable S, A & O costs $ 3,277.04 $ 2,986.31 Total Selling & Admin $ 10,848.57 $ 10,557.84 $ 12,196.00 Total Costs $ 136,254.02 $ 125,960.18 $ 138,780.00 Operating Profit $ 19,141.68 $ 15,649.31 $ 13,020.00 S, A, O expenses increase Favorable/unfavorable (compared to Master) unfavorable unfavorable unfavorable unfavorable unfavorable Sales Volume Variance $ 13,786.22 $ 1,532.18 $ 21,291.46 0.648 $ 21,291.46 $ 22,823.64 Master Budget Revenue Less variable manufacturing costs Less variable selling and administrative cost Total Variable costs Contribution Margin Less fixed manufacturing costs Less fixed selling and administrative costs Total fixed costs Operating Income $ $ 112,753.27 3,277.04 $ $ 12,652.18 7,571.53 Comparisons with Actual Results Number of Units Sold Revenue Master Budget 7.2985 ### Cost and Expenses Cost of sales $ Selling, administrative, and other expenses $ Total costs and expenses $ Income(loss) before income taxes - Automotive 139,626.97 10,848.57 150,475.54 Comparisons with Actual Results Number of Units Sold Revenue Master Budget 7.2985 $ 155,395.70 Cost and Expenses direct materials $87,696.99 direct labor $12,528.14 variable manufacturing overhead $12,528.14 fixed manufacturing overhead $12,652.18 Total Cost of sales $125,405.45 variable SGA $3,277.04 fixed SGA $7,571.53 Total Selling, administrative, and other expenses Total costs and expenses Income(loss) before income taxes - Automotive Master Budget $ 155,395.70 $ $ 116,030.31 39,365.39 $ $ 20,223.71 19,141.68 Comparisons with Actual Results Actual Results 6.651 $ 151,800.00 $ $ $ $ Variance 0.6475 3,595.70 126,584.00 $ 12,196.00 $ 138,780.00 $ 13,042.97 (1,347.43) 11,695.54 Sales volume Variance 0.6475 $ 3,595.70 $ Flexible budget 6.651 141,609.48 $10,848.57 $10,848.57 $ (7,252.87) Flexible Budget $ $ $ 141,609.48 102,750.15 2,986.31 $ $ $ $ $ Variance 105,736.46 ### 12,652.18 7,571.53 $ $ $ $ Sales price and Cost variances 20,223.71 15,649.31 Actual results 0.00 $10,190.52 6.65 $151,800.00 $ $ $ $ $ $ $ 10,003.12 290.73 88,608.80 12,658.40 12,658.40 12,658.40 $126,584.00 3,658.80 8,537.20 12,196.00 $138,780.00 $13,020.00 - Variance $ 13,786.22 $ $ 10,293.84 3,492.37 $ $ 3,492.37 2016 Actual Results Assumption Actual Results DM @ 70% of COGS $ 88,608.80 DL @ 10% of COGS $ 12,658.40 VMO @ 10% of COGS $ 12,658.40 FMO @ 10% of COGS $ 12,658.40 VSGA @ 30% FSGA @ 70% wholesale units sold $ $ 3,658.80 8,537.20 6.651 sults Per Vehicle $ 13,322.63 $ 1,903.23 $ 1,903.23 $ 550.11