Accounting By: F.Jiyana
Name: …………………………
1
, Accounting By: F.Jiyana
Content
1.Types of budget
i. Cash budget
ii. Capital budget
iii. Sales budget
iv. Production purchase budget/Raw material purchase budget
v. Stock budget
vi. Debtor (Trade receivable) budget
vii. Creditor (Trade payable) budget
viii. Flexible budget
2. Budgeted trading profit and loss account
3. Budgeted statement of financial position
4. Theory of budgeting
2
, Accounting By: F.Jiyana
1. What is a budget?
……………………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………
Types of budgets
2. What are the types of budgets and purpose of each budget?
Budgets Purpose
Cash budget
3. The management accountant of Dakshan and Deon supplies limited has provided following
figures for the next three months ending 31st December 2019 .
October November December
£ £ £
Revenue 40000 15000 65000
Purchases 25000 10000 15000
Wages 3000 5000 5000
Expenses 2000 4500 4000
Drawings 500 2000 1000
Depreciation 200 200 200
st
i. The cash balance on 1 October is estimated to be £2000
ii. The sales are for cash
iii. Expenses are paid as they occur
A. Identify three items which are not taken into consideration when preparing budgets
…………………………………………………………
3
, Accounting By: F.Jiyana
…………………………………………………………
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B. Prepare the cash budget for the three months ending 31st December 2019
October November December
£ £ £
receipts
C. Evaluate the finance level of this business for next three months
………………………………………………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………………………………………
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4. Suzan and Onela supplies limited has provided following figures for the next three month
ending on 31st December 2019.
October November December
£ £ £
Revenue 40000 30000 60000
Purchases 25000 10000 15000
Wages 3000 5000 5000
4
Name: …………………………
1
, Accounting By: F.Jiyana
Content
1.Types of budget
i. Cash budget
ii. Capital budget
iii. Sales budget
iv. Production purchase budget/Raw material purchase budget
v. Stock budget
vi. Debtor (Trade receivable) budget
vii. Creditor (Trade payable) budget
viii. Flexible budget
2. Budgeted trading profit and loss account
3. Budgeted statement of financial position
4. Theory of budgeting
2
, Accounting By: F.Jiyana
1. What is a budget?
……………………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………
Types of budgets
2. What are the types of budgets and purpose of each budget?
Budgets Purpose
Cash budget
3. The management accountant of Dakshan and Deon supplies limited has provided following
figures for the next three months ending 31st December 2019 .
October November December
£ £ £
Revenue 40000 15000 65000
Purchases 25000 10000 15000
Wages 3000 5000 5000
Expenses 2000 4500 4000
Drawings 500 2000 1000
Depreciation 200 200 200
st
i. The cash balance on 1 October is estimated to be £2000
ii. The sales are for cash
iii. Expenses are paid as they occur
A. Identify three items which are not taken into consideration when preparing budgets
…………………………………………………………
3
, Accounting By: F.Jiyana
…………………………………………………………
…………………………………………………………
…………………………………………………………
…………………………………………………………
…………………………………………………………
…………………………………………………………
…………………………………………………………
B. Prepare the cash budget for the three months ending 31st December 2019
October November December
£ £ £
receipts
C. Evaluate the finance level of this business for next three months
………………………………………………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………………………………………
……………………………………………
4. Suzan and Onela supplies limited has provided following figures for the next three month
ending on 31st December 2019.
October November December
£ £ £
Revenue 40000 30000 60000
Purchases 25000 10000 15000
Wages 3000 5000 5000
4
