MA: Appraising Budgets Purpose: This assignments will assess knowledge of qualitative factors relating to differential analysis. The assignment is related to CLO5: Identify, construct, and appraise budgets for effective management. Requirement: After reading all differential analysis resources and viewing the videos, complete Part 1 and Part 2. Use your own words, with correct grammar and spelling. Please use citations, if applicable. The attached rubric displays grading criteria. For this specific assignment, feedback will be given 24 hours after the due date. This assignment should be processed through individual efforts. It is not a group assignment. Part I: Information: Xellnet provides e-commerce software for the pharmaceuticals industry. Xellnet is organized into several divisions. A companywide planning committee sets general strategy and goals for the company and its divisions, but each division develops its own budget. Lonnie Draper is the new division manager of wireless communications software. His division has two departments: development and sales. Chad Sanchez manages the 20 or so programmers and systems specialists typically employed in the development department to create and update the division's software applications. Liz Smith manages the sales department. Budgeting is in progress. Sanchez met with his staff and is now struggling with two sets of numbers. Alternative A is his best estimate of next year's costs. However, unexpected problems can arise when writing software, and finding competent programmers is an ongoing challenge. Sanchez knows that Draper was a programmer before he earned an MBA, so he should be sensitive to this uncertainty. Consequently, he is thinking of increasing his budgeted costs (Alternative B). His department's bonuses largely depend on whether the department meets its budgeted costs. XELLNET Wireless Division Development Budget 2015 Alternative A Salaries Expense (including overtime and part time) 52,400,000 Alternative B $2.640.000 COXXXXX you . T uvu, u pro EULE WALKE W UYU, ILE KULLCAPELLE programmers is an ongoing challenge. Sanchez knows that Draper was a programmer before he earned an MBA, so he should be sensitive to this uncertainty. Consequently, he is thinking of increasing his budgeted costs (Alternative B). His department's bonuses largely depend on whether the department meets its budgeted costs. XELLNET Wireless Division Development Budget 2015 Alternative A Salaries Expense (including overtime and part time) $2,400,000 Software Expense 120,000 Travel Expense 65,000 Depreciation Expense 255,000 Miscellaneous Expense 100,000 Total Expense $ 2,940,000 Alternative B $ 2,640,000 132,000 71,500 255,000 110,000 S3,208,500 Liz Smith is also struggling with her sales budget. Companies have made their initial investments in communications software, so it is harder to win new customers. If things go well, she believes her sales team can maintain the level of growth achieved over the past few years. This is Alternative A in the sales budget. However, if Smith is too optimistic, sales may fall short of the budget. If this happens, her team will not receive bonuses. Therefore, Smith is considering reducing the sales numbers and submitting Alternative B. XELLNET Wireless Division Sales Budget 2015 Alternative A Sales Revenue $5,000,000 Salaries Expense 360,000 Travel Expense 240,000 Alternative B $ 4,500,000 360,000 210,500 Requirements: You will play three different roles of a team 1. You will play the role of development manager Chad Sanchez. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the Requirements: You will play three different roles of a team. 1. You will play the role of development manager Chad Sanchez. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the team meeting. 2. Second, you will play the role of sales manager Liz Smith. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the team meeting. 3. Third, play the role of division manager Lonnie Draper. Before meeting with the entire team, use the memos that Sanchez (from requirement #1) and Smith (from requirement #2) provided you to prepare a division budget based on the sales and development budgets. Your divisional overhead costs (additional costs beyond those incurred by the development and sales departments) are approximately $390.000 Below is a suggested format: 4. Last, Prepare a report that includes the division budget and a summary of the issues covered in the team meeting. Address the following in the summary: yes or no in departmental bonus recommendation and strategies to increase sales and reduce costs to achieve favorable division profit estimates Part II: Information: Donna Tse has recently accepted the position of assistant manager at Cycle World, a bicycle store in St. Louis. She has just finished her accounting courses. Cycle World's manager and owner. Jeff Towry, asks Tse to prepare a budgeted income statement for 2017 based on the information he has collected. Tse's budget follows: CYCLE WORLD Budgeted Income Statement For the Year Ended July 11, 2015 4. Last, Prepare a report that includes the division budget and a summary of the issues covered in the team meeting. Address the following in the summary: yes or no in departmental bonus recommendation and strategies to increase sales and reduce costs to achieve favorable division profit estimates. Part II: Information: Donna Tse has recently accepted the position of assistant manager at Cycle World, a bicycle store in St. Louis. She has just finished her accounting courses. Cycle World's manager and owner, Jeff Towry, asks Tse to prepare a budgeted income statement for 2017 based on the information he has collected. Tse's budget follows: CYCLE WORLD Budgeted Income Statement For the Year Ended July 31, 2015 Sales Revenue Cost of Good Sold Gross Profit 67,000 Selling and Administrative Expenses Salaries and Commissions $45.000 Rent Espense 3.000 BOO 12.000 Deprecation Expense Insurance Experse Miscellaneous expense Operating cons nterest Expense Net Loss (2,025) Requirements: Tse does not want to give Towry this budget without making constructive suggestions for steps Towry could take to improve expected performance. Assume the role of Donna Tse. Write a memo to Towry outlining your suggestions, LIPYesuolis-dllu-answers/part-information-xellnet-provides-ecommerce-se = Chegg Study Textbook Solutions Expert Q&A Practice New Search XELLNET Wireless Division Development Budget 2015 Alternative A Salaries Expense (including overtime and part time $ 2,400,000 Software Expense 120,000 Travel Expense 65,000 Depreciation Expense 255,000 Miscellaneous Expense 100,000 Total Expense $ 2,940,000 Alternative B $ 2,640,000 132,000 71,500 255,000 110,000 $ 3,208,500 Liz Smith is also struggling with her sales budget. Companies have made their initial investments in communications software, so it is harder to win new customers. If things go well, she believes her sales team can maintain the level of growth achieved over the past few years. This is Alternative A in the sales budget. However, if Smith is too optimistic, sales may fall short of the budget. If this happens her team wil not receive bonuses. Therefore, Smith is considering reducing the sales numbers and submitting Alternative B. = Chegg Study Textbook Solutions Expert Q&A Practice New Search GISCor grow budget. However, if Smith is too optimistic, sales may fall short of the budget. If this happens, her team wil not receive bonuses. Therefore, Smith is considering reducing the sales numbers and submitting Alternative B. XELLNET Wireless Division Sales Budget 2015 Alternative A Sales Revenue $ 5,000,000 Salaries Expense 360,000 Travel Expense 240,000 Alternative B $ 4,500,000 360,000 210,500 Requirements: You will play three different roles of a team, 1. You will play the role of development manager Chad Sanchez. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the team meeting. M 3. Third, play the role of division manager Lonnie Draper. Before meeting with the entire team, use the memos that Sanchez (from requirement #1) and Smith (from requirement #2) provided you to prepare a division budget based on the sales and development budgets. Your divisional overhead costs (additional costs beyond those incurred by the development and sales departments) are approximately $390,000. Below is a suggested format: XELLNET Wireless Division Possible Budgets For the Year Ending December 31, 2015 Sales A & Development A Sales A & Development B Sales B & Development A Sales B & Development B Sales revenue Sales department expenses Development department expenses Division overhead costs Total expenses Division profit Sales Department Budgeted Expenses Alternative A Alternative B Salaries Expense Travel Expense Total Expenses . 4. Last, Prepare a report that includes the division budget and a summary of the issues covered in the team meeting. Address the following in the summary: yes or no in departmental bonus recommendation and strategies to increase sales and reduce costs to achieve favorable division profit estimates. Part II: Information: Donna Tse has recently accepted the position of assistant manager at Cycle World, a bicycle Requirements: Tse does not want to give Towry this budget without making constructive suggestions for steps Towry could take to improve expected performance. Assume the role of Donna Tse. Write a memo to Towry outlining your suggestions. = Chegg Study Textbook Solutions Expert Q&A Practice Search Q collected. Tse's budget follows: M CYCLE WORLD Budgeted Income Statement For the Year Ended July 31, 2015 $ 244,000 177,000 67,000 Sales Revenue Cost of Goods Sold Gross Profit Selling and Administrative Expenses: Salaries and Commissions Expense Rent Expense Depreciation Expense Insurance Expense Miscellaneous Expense Operating Loss Interest Expense Net Loss $ 46,000 8,000 2,000 800 12,000 68,800 (1,800) (225) (2,025) $ Draumant. Tre dans tontti Toathinh MA: Appraising Budgets Purpose: This assignments will assess knowledge of qualitative factors relating to differential analysis. The assignment is related to CLO5: Identify, construct, and appraise budgets for effective management. Requirement: After reading all differential analysis resources and viewing the videos, complete Part 1 and Part 2. Use your own words, with correct grammar and spelling. Please use citations, if applicable. The attached rubric displays grading criteria. For this specific assignment, feedback will be given 24 hours after the due date. This assignment should be processed through individual efforts. It is not a group assignment. Part I: Information: Xellnet provides e-commerce software for the pharmaceuticals industry. Xellnet is organized into several divisions. A companywide planning committee sets general strategy and goals for the company and its divisions, but each division develops its own budget. Lonnie Draper is the new division manager of wireless communications software. His division has two departments: development and sales. Chad Sanchez manages the 20 or so programmers and systems specialists typically employed in the development department to create and update the division's software applications. Liz Smith manages the sales department. Budgeting is in progress. Sanchez met with his staff and is now struggling with two sets of numbers. Alternative A is his best estimate of next year's costs. However, unexpected problems can arise when writing software, and finding competent programmers is an ongoing challenge. Sanchez knows that Draper was a programmer before he earned an MBA, so he should be sensitive to this uncertainty. Consequently, he is thinking of increasing his budgeted costs (Alternative B). His department's bonuses largely depend on whether the department meets its budgeted costs. XELLNET Wireless Division Development Budget 2015 Alternative A Salaries Expense (including overtime and part time) 52,400,000 Alternative B $2.640.000 COXXXXX you . T uvu, u pro EULE WALKE W UYU, ILE KULLCAPELLE programmers is an ongoing challenge. Sanchez knows that Draper was a programmer before he earned an MBA, so he should be sensitive to this uncertainty. Consequently, he is thinking of increasing his budgeted costs (Alternative B). His department's bonuses largely depend on whether the department meets its budgeted costs. XELLNET Wireless Division Development Budget 2015 Alternative A Salaries Expense (including overtime and part time) $2,400,000 Software Expense 120,000 Travel Expense 65,000 Depreciation Expense 255,000 Miscellaneous Expense 100,000 Total Expense $ 2,940,000 Alternative B $ 2,640,000 132,000 71,500 255,000 110,000 S3,208,500 Liz Smith is also struggling with her sales budget. Companies have made their initial investments in communications software, so it is harder to win new customers. If things go well, she believes her sales team can maintain the level of growth achieved over the past few years. This is Alternative A in the sales budget. However, if Smith is too optimistic, sales may fall short of the budget. If this happens, her team will not receive bonuses. Therefore, Smith is considering reducing the sales numbers and submitting Alternative B. XELLNET Wireless Division Sales Budget 2015 Alternative A Sales Revenue $5,000,000 Salaries Expense 360,000 Travel Expense 240,000 Alternative B $ 4,500,000 360,000 210,500 Requirements: You will play three different roles of a team 1. You will play the role of development manager Chad Sanchez. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the Requirements: You will play three different roles of a team. 1. You will play the role of development manager Chad Sanchez. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the team meeting. 2. Second, you will play the role of sales manager Liz Smith. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the team meeting. 3. Third, play the role of division manager Lonnie Draper. Before meeting with the entire team, use the memos that Sanchez (from requirement #1) and Smith (from requirement #2) provided you to prepare a division budget based on the sales and development budgets. Your divisional overhead costs (additional costs beyond those incurred by the development and sales departments) are approximately $390.000 Below is a suggested format: 4. Last, Prepare a report that includes the division budget and a summary of the issues covered in the team meeting. Address the following in the summary: yes or no in departmental bonus recommendation and strategies to increase sales and reduce costs to achieve favorable division profit estimates Part II: Information: Donna Tse has recently accepted the position of assistant manager at Cycle World, a bicycle store in St. Louis. She has just finished her accounting courses. Cycle World's manager and owner. Jeff Towry, asks Tse to prepare a budgeted income statement for 2017 based on the information he has collected. Tse's budget follows: CYCLE WORLD Budgeted Income Statement For the Year Ended July 11, 2015 4. Last, Prepare a report that includes the division budget and a summary of the issues covered in the team meeting. Address the following in the summary: yes or no in departmental bonus recommendation and strategies to increase sales and reduce costs to achieve favorable division profit estimates. Part II: Information: Donna Tse has recently accepted the position of assistant manager at Cycle World, a bicycle store in St. Louis. She has just finished her accounting courses. Cycle World's manager and owner, Jeff Towry, asks Tse to prepare a budgeted income statement for 2017 based on the information he has collected. Tse's budget follows: CYCLE WORLD Budgeted Income Statement For the Year Ended July 31, 2015 Sales Revenue Cost of Good Sold Gross Profit 67,000 Selling and Administrative Expenses Salaries and Commissions $45.000 Rent Espense 3.000 BOO 12.000 Deprecation Expense Insurance Experse Miscellaneous expense Operating cons nterest Expense Net Loss (2,025) Requirements: Tse does not want to give Towry this budget without making constructive suggestions for steps Towry could take to improve expected performance. Assume the role of Donna Tse. Write a memo to Towry outlining your suggestions, LIPYesuolis-dllu-answers/part-information-xellnet-provides-ecommerce-se = Chegg Study Textbook Solutions Expert Q&A Practice New Search XELLNET Wireless Division Development Budget 2015 Alternative A Salaries Expense (including overtime and part time $ 2,400,000 Software Expense 120,000 Travel Expense 65,000 Depreciation Expense 255,000 Miscellaneous Expense 100,000 Total Expense $ 2,940,000 Alternative B $ 2,640,000 132,000 71,500 255,000 110,000 $ 3,208,500 Liz Smith is also struggling with her sales budget. Companies have made their initial investments in communications software, so it is harder to win new customers. If things go well, she believes her sales team can maintain the level of growth achieved over the past few years. This is Alternative A in the sales budget. However, if Smith is too optimistic, sales may fall short of the budget. If this happens her team wil not receive bonuses. Therefore, Smith is considering reducing the sales numbers and submitting Alternative B. = Chegg Study Textbook Solutions Expert Q&A Practice New Search GISCor grow budget. However, if Smith is too optimistic, sales may fall short of the budget. If this happens, her team wil not receive bonuses. Therefore, Smith is considering reducing the sales numbers and submitting Alternative B. XELLNET Wireless Division Sales Budget 2015 Alternative A Sales Revenue $ 5,000,000 Salaries Expense 360,000 Travel Expense 240,000 Alternative B $ 4,500,000 360,000 210,500 Requirements: You will play three different roles of a team, 1. You will play the role of development manager Chad Sanchez. Before meeting with the entire team, determine which set of budget numbers you are going to present to Lonnie Draper. Write a memo supporting your decision. Give this memo to the division manager (requirement #3) before the team meeting. M 3. Third, play the role of division manager Lonnie Draper. Before meeting with the entire team, use the memos that Sanchez (from requirement #1) and Smith (from requirement #2) provided you to prepare a division budget based on the sales and development budgets. Your divisional overhead costs (additional costs beyond those incurred by the development and sales departments) are approximately $390,000. Below is a suggested format: XELLNET Wireless Division Possible Budgets For the Year Ending December 31, 2015 Sales A & Development A Sales A & Development B Sales B & Development A Sales B & Development B Sales revenue Sales department expenses Development department expenses Division overhead costs Total expenses Division profit Sales Department Budgeted Expenses Alternative A Alternative B Salaries Expense Travel Expense Total Expenses . 4. Last, Prepare a report that includes the division budget and a summary of the issues covered in the team meeting. Address the following in the summary: yes or no in departmental bonus recommendation and strategies to increase sales and reduce costs to achieve favorable division profit estimates. Part II: Information: Donna Tse has recently accepted the position of assistant manager at Cycle World, a bicycle Requirements: Tse does not want to give Towry this budget without making constructive suggestions for steps Towry could take to improve expected performance. Assume the role of Donna Tse. Write a memo to Towry outlining your suggestions. = Chegg Study Textbook Solutions Expert Q&A Practice Search Q collected. Tse's budget follows: M CYCLE WORLD Budgeted Income Statement For the Year Ended July 31, 2015 $ 244,000 177,000 67,000 Sales Revenue Cost of Goods Sold Gross Profit Selling and Administrative Expenses: Salaries and Commissions Expense Rent Expense Depreciation Expense Insurance Expense Miscellaneous Expense Operating Loss Interest Expense Net Loss $ 46,000 8,000 2,000 800 12,000 68,800 (1,800) (225) (2,025) $ Draumant. Tre dans tontti Toathinh