Case Study: Buns Bakery: Creating and Using a Master Budget ason C. PorterUniversity of IdahoTeresa StephensonUniversity of Wyoming IMA EDUCATIONAL CASE JOURNAL VOL. 2, NO. 2, ART. 3 JUNE 20091BACkgROUNDBuns Bakery is a medium-sized regional bakery that specializes in providing orders to grocery and convenience stores. Because of the popularity of its brand, it has also opened a small caf for walk-in business. In order to maintain its high quality standard, Buns produces only three products: breakfast muffins, fresh bread, and chocolate chip cookies. Although business has been good in the past few years, a lucky contact with a large chain has recently allowed it to expand its brand out of the local region. Growth has been high since the new contract went into effect.Andy Griff, the chief executive officer (CEO) and founder, has arranged a meeting with a venture capital firm next week. Hopefully the meeting will result in the sale of some of Buns stock and an opportunity to establish a significant line of credit with the venture capital firm. These extra funds, if Andy can secure them, should provide sufficient money to meet Buns growth targets for the next few years. The venture capital firms assessment team has asked Andy to provide a quarterly master budget for the coming year, complete with pro forma financial statements, at the meeting. They have expressed special interest in Buns earnings per share (EPS), cash flow from operations, and profit margins, indicating that good numbers in these areas will be essential for final approval. In typical managerial style, Andy......

You will need to create the following items: Cash Flows Budget Data Input Sheet Production Budget Projected Balance Sheet Projected Income Statement Sales Budget Other supporting schedules may include: Direct Materials Budget Cash disbursements schedule Direct Labor Budget Ending Inventory Budget Manufacturing Overhead Budget Selling and Administrative Budget You may also need to create supporting schedules and table