Question 1: Caffeine Machines Inc. (14 marks) Please leave Column A blank so I can use it for marking. Caffeine Machines Inc. manufactures coffee makers. Here is some information related to its 2020 budget. Budgeted total sales dollars $ 936,000 Budgeted average selling price per coffee maker 30.00 Budgeted variable costs per coffee maker 18.00 Budgeted fixed costs in total $ 222,900 At the end of 2020, Caffeine Machines Inc. had the following actual results for the 2020 year. Actual total sales dollars $ 1,003,000 Actual # of coffee makers sold 27,000 Actual total variable costs $ 601,900 Actual total fixed costs $ 215,700 NOTE: If some of the data above is blank it means you haven't entered your student number on the Cover tab. Required: a. Prepare a performance report comparing actual results to budgeted results in contribution income statement format. Ensure that the report includes price and volume variances for revenue, variable costs, fixed costs and operating income (10 marks). b. Explain to Caffeine Machine's management team in words what made up the difference between budgeted operating income and actual operating income. Makes sure your explanation touches on changes in sales, variable costs, fixed costs and operating income. (4 marks).Question 2: Cash Conscious Inc. (13 marks) Please leave Column Ablank so I can use it for marking. Cash Conscious Inc. is a merchandising company that buys goods for resale. Cash Conscious Inc. is preparing a cash budget forthe month of March 2021 and has collectedthe following estimated data: NOTE: If some of the boxes below have #VALUE in them it means you haven't entered your student number on the Cover tab. 1 Estimated monthly sales in units: January February March April Mav 2 Average selling price is estimated to be '- 14.90 Der unit. All sales are credit sales. Estimated collection pattern for credit sales is 30% in the month of sale, 50% in the month after sale and 20% two months after the sale. 4 The company would like to have ending inventory each month equal to 20% of next months sales. 5 Cost of purchases are estimated to be 35 170 per unit and are paid in the month of purchase. Depreciation is calculated using the straightline method. Assume all other annual fixed operating expenses are incurred evenly throughout the year and are paid in the month incurred. Annual Fixed Operating Expenses Advertising '. 12 283.00 Depreciation $ 13,723.00 Insurance '. 13 800.00 Property Taxes 12,550.00 Sales and Admin Salaries 14,400.00 Required: Prepare Cash Conscious |nc.'s cash budget for March 2021. Assume a March opening cash balance of: To help you organize this, you will need to: a} Determine the sales budgeted for the first quarter and the amount of cash collected in March. (4 marks) b) Determine the merchandise purchase requirements for March. (3 marks) Cl Determine the total cash disbursements tor March (purchases and fixed operating expenses). {2 marks) d} Prepare the cash budget in good form (only4 lines are required - opening cash balance plus receipts minus disbursements eouals ending cash balance]. (4 marks] Do your work below: Question 3: Crafty Suds (12 marks) Please leave Column A blank so I can use it for marking. Crafty Suds Inc. operates a chain of craft breweries. Crafty's mission is to provide high quality beverages (both alcoholic and nonalcoholic). In addition to the beverage production each brewery is set up so that they are experience destinations. Brewery visitors can tour the facilities, learn how craft beer is produced, sample the beverages and enjoy good food. Crafty's goal is to educate and entertain any visitor such that their brand is enhanced. Crafty's president, |.P. Anderson, has asked you to lead a team of employees in developing a balanced scorecard for Required: Create a balance scorecard that identifies two metrics of performance for each of the 4 dimensions Identify how the metrics relate to Crafty' Suds' key success factors and identify how they would be measured. Question 4 - Green Energy Green Energy Co. (GEC), an environmental energy company, is looking to purchase a new methane burning furnace, and wants to evaluate two different models that both have a useful life of 5 years. GEC requires a 12 percent return on investment. Assume cash flows noted below are net of tax. The cash flows associated with the two models are as follows: Year Model A Model B Initial Cost (Cash outflow) 0 $410,000 $165,000 Cash Flow Year 1 $195,000 $50,000 Cash Flow Year 2 $190,000 $52,000 Cash Flow Year 3 $105,000 $62,000 Cash Flow Year 4 $65,000 672,000 Cash Flow Year 5 5 $60,000 $55,000 NOTE: If the boxes above have #VALUE in them it means you haven't entered your student number on the Cover tab. Required: Note that for the questions below a quess does not get you marks - you need to show the math! a. If you apply the payback criterion, which investment should GEC choose? Why? (3 marks) (Round to 2 decimal places.) b. If you apply the NPV criterion, which investment should GEC choose? Why? (3 marks) C. If you apply the IRR criterion, which investment should GEC choose? Why? (3 marks) (Round to 2 decimal places - xx.xx%) d. If you apply the profitability index criterion, which investment should GEC choose? Why? (3 marks) (Round to 2 decimal places.)