14 Aug Accounting Question:
The Bottled Water Company Comprehensive Master Budget
In the following pages, you are given basic information for the operating budgets including the sales budget, the production budget, the direct materials purchases budget, the direct labor budget, the overhead budget, the selling and administrative expense budget, and the cost of goods manufactured budget. Complete the operating budgets on spreadsheet(s) in a workbook, using formulas and linking figures for maximum effectiveness of the spreadsheet.
Complete the budgeted income statement, linking the numbers from the supporting budgets to the income statement. Note, you are not given the information to complete the budgeted balance sheet, so a balance sheet is not expected to be a part of the assignment package.
Prepare an executive summary to Ginnie Adams, the owner of the Bottled Water Company, with your results from the comprehensive budget for the new product and how launching the new product would affect net income. Your spreadsheet(s) will be your attachment to the executive summary.
The project should include:
1. Executive Summary
2. Sales Budget
3. Production Budget
4. Direct Materials Budget
5. Direct Labor Budget
6. Overhead Budget
7. Selling and Administrative Expense Budget
8. Cost of Goods Manufactured Budget
9. Budget and Income Statement
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