FREEZY CREAM LIMITED - BUDGETS FOR YEAR TO 31 DECEMBER 200X

CONTROL BOX Fixed costs £/month

selling price 20 p/tub Production equipment lease charges 600
variable costs 10 p/tub Production operators wages 1400
Van driver's wages 700
Case 50 tub Van leasecharge and running cost 400
Heat, Light and Power 200
Other Costs 700

Sales Budget - £ '000's

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
Sales units (cases 700 700 700 1000 1000 1000 1600 1600 1600 700 700 700 12000
0
Sales 7 7 7 10 10 10 16 16 16 7 7 7 120
Cost of sales 3.5 3.5 3.5 5 5 5 8 8 8 3.5 3.5 3.5 60
0
Gross profit 3.5 3.5 3.5 5 5 5 8 8 8 3.5 3.5 3.5 60
Fixed costs 4 4 4 4 4 4 4 4 4 4 4 4 48
0
Net profit / (loss -0.5 -0.5 -0.5 1 1 1 4 4 4 -0.5 -0.5 -0.5 12

Production Budget - Number of cases

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

Opening stocks 0 0 100 600 800 1000 1200 800 400 0 0 0 4900
Production 700 800 1200 1200 1200 1200 1200 1200 1200 700 700 700 12000
Sales 700 700 700 1000 1000 1000 1600 1600 1600 700 700 700 12000
Closing stocks 0 100 600 800 1000 1200 800 400 0 0 0 0 4900

Cash Flow Forecast - £'000's

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total

Opening balance 0 -7.5 -15.5 -18.5 -21.5 -24.5 -24.5 -24.5 -24.5 -18.5 -10 -1.5
Cash in 7 7 7 10 10 10 16 16 16 7 7 7 120
Cash out:
Production 3.5 4 6 6 6 6 6 6 6 3.5 3.5 3.5 60
Fixed costs 4 4 4 4 4 4 4 4 4 4 4 4 48
Closing balance -7.5 -15.5 -18.5 -21.5 -24.5 -24.5 -24.5 -24.5 -18.5 -10 -1.5 -2