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Coca-Cola Company prepares a master budget for its beverage operations. In December 2039, the company estimates the following: Projected Revenue: $2,000,000,000 Direct Costs: $1,200,000,000 Overhead

Coca-Cola Company prepares a master budget for its beverage operations. In December 2039, the company estimates the following:

  • Projected Revenue: $2,000,000,000
  • Direct Costs: $1,200,000,000
  • Overhead Costs: $500,000,000

Requirements:

  • Prepare a master budget including budgeted income statement, balance sheet, and cash flow statement.
  • Perform a sensitivity analysis for changes in projected revenue.
  • Prepare a forecast for the next fiscal year.
  • Recommend budgetary control measures.
  • Discuss the importance of budgeting in achieving financial goals.

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