You have a tea stall in operation at Dhanmandi Lake since 2016. Information of your business in 2019 is as follows:

Selling price was BDT 6 per cup

Average Sales volume was 30 cups per day

Usual Scenario

Annual sales growth was 10% Price increases by 15% every year

In 2020, Sales declined by 50% Due to COVID.

Monthly average selling and administration cost of the stall was: Area Commission = BDT 500/month

Rent

Utility Depreciation

= BDT 1,000/month = BDT 200/month

= BDT 60/month

During a normal situation, the following growth has been observed: Raw material cost increases by 10% every year

Labor cost increases by 8% every year

MOH cost increases by 12% every year

Selling and administration cost increases by 4% every year

Prepare a Master Budget (Sales/Production/RM/Labor/MOH/Selling & Administrative/Cash budget) for the year 2020 (CORONA virus year) and another Master Budget for the year 2021 (POST CORONA virus year). You need to calculate your own production cost (raw material cost + labor cost + MOH cost) and opening/closing inventory. Show details/breakdown of your calculation.

Give reasons of any changes of you assumptions between 2020 and 2021 Master Budget i.e., COVID 20 situation and during POST-COVID 21 situation.