Individual Case Study 2 Master Budget, Cash Budget and Budgeted Income Statement After two years study at UCW, you finally graduate and start a job as Junior accountant at Rizza Pizza Inc. Your manager is responsible for the nationwide distribution of pre package frozen pizza. Because of the pandemic spread and economic recession, the company has rapidly increased its revenue, and the prompt growth forces the management team to improve their efficiency and manage their production effectively to capitalize this opportunity. You have just been given responsibility for all planning and budgeting of the entire production division in BC. Today is your first day, you have just given an assignment to prepare master budget for the manager, who needs to present the budget and discuss the financial objectives with the shareholders tomorrow. During your job interview, you clearly stated that you gained managerial accounting knowledge and hand on experience during your MBA study. Your first assignment is to prepare a master budget for the next fiscal year, starting April 1, 2021. Your co workers have left a pile of files on your desk including the past sale records, product information, manufacture schedule and supplier pricing list. Now, you realized that you should have pay more attention during the lecture. Now, you do not know where to start. Fortunately, you remember that you kept a spreadsheet template of the master budget in your computer from accounting course last year. Operating Budget The marketing department has forwarded you with forecasted sales volumes for the next 12 months see below: Date Units Date Units APR, 2021 500,000 OCT, 2021 500,000 MAY, 2021 520,000 NOV, 2021 515,000 JUNE, 2021 515,000 DEC, 2022 530,000 JULY, 2021 520,000 JAN, 2022 520,000 AUG, 2021 500,000 FEB, 2022 530,000 SEP, 2021 520,000 MAR, 2022 540,000 *APR, 2022 sales volume is expected to be 530,000 units To meet its monthly sales, the company has mandated that monthly ending finished goods inventories are supposed to be equal to 25% of the next month's sales in units. Rizza Pizza Inc currently does its own assembly production in house. Each pizza consists of 2 pounds of flour and the cost of each pound is $0.10. Each unit needs 0.10 labour hour from raw material preparation to finished package. The hourly pay rate to the assembling workers is $12 per hour. The production manager also required desired direct material ending inventory, which is enough for 30% of the next month production. The production units in April 2022 are estimated to be 780,000 units. The Rizza Pizza's are sold to retailers for $3 each. pset wall See on Manicure Overhead Costs 5 53 S $ W De Miso Ahmet with your comedecor mnh trng cho mi vng 994 10 Primet that nha ve nha we are colected by the medie tolong distrier. www.ro Alespoor whether Stowe with no controlowane Aug will make challenge WS set at the end of the Ganh CARDIGANS DOO .. we are Regarder 2002 the following the entrance 2/3 Cadet Individual Case Study 2 Master Budget, Cash Budget and Budgeted Income Statement After two years study at UCW, you finally graduate and start a job as Junior accountant at Rizza Pizza Inc. Your manager is responsible for the nationwide distribution of pre package frozen pizza. Because of the pandemic spread and economic recession, the company has rapidly increased its revenue, and the prompt growth forces the management team to improve their efficiency and manage their production effectively to capitalize this opportunity. You have just been given responsibility for all planning and budgeting of the entire production division in BC. Today is your first day, you have just given an assignment to prepare master budget for the manager, who needs to present the budget and discuss the financial objectives with the shareholders tomorrow. During your job interview, you clearly stated that you gained managerial accounting knowledge and hand on experience during your MBA study. Your first assignment is to prepare a master budget for the next fiscal year, starting April 1, 2021. Your co workers have left a pile of files on your desk including the past sale records, product information, manufacture schedule and supplier pricing list. Now, you realized that you should have pay more attention during the lecture. Now, you do not know where to start. Fortunately, you remember that you kept a spreadsheet template of the master budget in your computer from accounting course last year. Operating Budget The marketing department has forwarded you with forecasted sales volumes for the next 12 months see below: Date Units Date Units APR, 2021 500,000 OCT, 2021 500,000 MAY, 2021 520,000 NOV, 2021 515,000 JUNE, 2021 515,000 DEC, 2022 530,000 JULY, 2021 520,000 JAN, 2022 520,000 AUG, 2021 500,000 FEB, 2022 530,000 SEP, 2021 520,000 MAR, 2022 540,000 *APR, 2022 sales volume is expected to be 530,000 units To meet its monthly sales, the company has mandated that monthly ending finished goods inventories are supposed to be equal to 25% of the next month's sales in units. Rizza Pizza Inc currently does its own assembly production in house. Each pizza consists of 2 pounds of flour and the cost of each pound is $0.10. Each unit needs 0.10 labour hour from raw material preparation to finished package. The hourly pay rate to the assembling workers is $12 per hour. The production manager also required desired direct material ending inventory, which is enough for 30% of the next month production. The production units in April 2022 are estimated to be 780,000 units. The Rizza Pizza's are sold to retailers for $3 each. pset wall See on Manicure Overhead Costs 5 53 S $ W De Miso Ahmet with your comedecor mnh trng cho mi vng 994 10 Primet that nha ve nha we are colected by the medie tolong distrier. www.ro Alespoor whether Stowe with no controlowane Aug will make challenge WS set at the end of the Ganh CARDIGANS DOO .. we are Regarder 2002 the following the entrance 2/3 Cadet