CURRENT FINANCIAL STATEMEN

For the Year Ended December 31, 2024 (Current y

ORDER THE BUDGET PREPAR

For the Year Ended December 31, 2025 (Next yea

SALE BUGET DEMAND

(sheet 3)

OTHER COST BUDGETS

(sheet 8)
PRODUCTION BUDGET
(sheet 4)

DIRECT MATERIALS DIRECT LABOUR BUDGET OVERHEAD BUDGET (sheet

BUDGET (sheet 5) (sheet 6) 7)

PAYABLE BUDGET (sheet

10)

CASH BUDGET (sheet 12)

BUDGETED BALANCE SHEET AND

INCOME STATEMENTS (sheet 13 & sheet
14)
STATEMENTS (Sheet 2)
er 31, 2024 (Current year)

ET PREPARATION
mber 31, 2025 (Next year)

DONE
PROCESS
Red words: assumptions

RECEIVABLES BUDGET (sheet

11)

VERHEAD BUDGET (sheet

7)

CAPITAL EXPENDITURE
BUDGET (no activities)
GENERAL ASSUMPTION
For the Year Ended December 31, 2025

BALANCE SHEET
For the Year Ended December 31, 2024
£'000
Non-current assets 1,476,300
Plants, poverties, equipment 1,550,700
Accumulated depreciaiton -74,400
Current assets 1,827,275
Inventories 168,500
Materials 3375
Receivables 620,000
Cash 1,035,400
3,303,575
Owners' capital and Liabilities
Owners' capital 2,462,100
Commonl stock (£1/stock) 1,655,400
Retain earnings 806,700
Current liabilites 297,600
Trade payables 297,600
Non-current liabilities 543,875
3,303,575

INCOME STATEMENT
For the Year Ended December 31, 2024
£'000
Revenue 1,300,000
Cost of sales 0
Gross profit 1,300,000
Operating expenses 150,000
Depreciation 74,400
Profit for the year 1,075,600
Tax expense* 268,900
Profit after tax 806,700

Assumption: Tax rate: 25%

ION
25
SALE BUDGET
For the Year Ended December 31, 2025

X Y Z W Total
Expected sales (units) 7500 8250 8750 9000 33500
Sales price per unit (£) 45 50 50 55
Total sales revenue (£) 337500 412500 437500 495000 1682500
PRODUCTION BUDGET
For the Year Ended December 31, 2025

X Y Z W Total
Expected sales 7500 8250 8750 9000 33500
Desired ending inventory 1650 1750 1800 1600 6800
Total required units 9150 10000 10550 10600 40300
- begining inventory 1500 1650 1750 1800 6700
Required production Total 7650 8350 8800 8800 33600

Assumption
Total units of begining inventory 1500 1650 1750 1800 6700
Cost per unit of inventory 20 30 20 30
Total 30000 49500 35000 54000 168500

INVENTORY
X Y Z W
OPENING BALANCE 30000 49500 35000 54000
PRODUCT
Quantity 7650 8350 8800 8800
Cost Direct material 9945 8350 7920 11440
Direct labour hour 143438 156563 165000 165000
Overheads 79467.5 83600.5 86568 86568
Total 232850 248513 259488 263008
Cost per unit 30 30 29 30
Total value inventory produced 232850 248513 259488 263008
Expected sale in period
Quantity 7500 8250 8750 9000
Amount 212627 245929 241411 269188 969156
Ending balance of inventory 50223 52084 53077 47820 203203
PHƯƠNG PHÁP FIFO

(Cost of sale)
DIRECT LABOUR BUDGET
For the Year Ended December 31, 2025

X Y Z W
Units to be produced 7650 8350 8800 8800
Direct labour hours per unit 0.75 0.75 0.75 0.75
Total required direct labour hour 5737.5 6262.5 6600 6600
Labour cost per hour 25 25 25 25
Total direct labour cost 143437.5 156562.5 165000 165000
ET
Total
33600
0.75
25200
25
630000
DIRECT MATERIALS BUDGET
For the Year Ended December 31, 2025

RM1 RM2 RM3 RM4

Total pounds needed for productio 24800 40800 42400 25250
+ desired ending inventory 3405 4785 5235 3220
Total material required 28205 45585 47635 28470
- begining
Pounds inventory
of direct material 1935 4785 3765 1750
purchase required 26270 40800 43870 26720
Cost per pound (£) 0.2 0.2 0.4 0.3
Total cost of direct material purcha 5254 8160 17548 8016

GENERAL INFORMATION OF
Cost per RM1 RM2 RM3 RM4 MATERIAL/UNIT
pound (£) 0.2 0.2 0.4 0.3
Quantity
1 2 1 1 5
need for X
Quantity
1 2 1 0 4
need for Y
Quantity
1 0 1 1 3
need for Z
Quantity
0 1 2 1 4
need for W

MTERIAL USAGE BUDGET

UNIT TO BE PRODUCED RM1 RM2 RM3 RM4

X 7650 7650 15300 7650 7650

Y 8350 8350 16700 8350 0
Z 8800 8800 0 8800 8800
W 8800 0 8800 17600 8800
Total pounds needed for product 24800 40800 42400 25250

DESIRED ENDING BALANCE

TOTAL
RM1 RM2 RM3 RM4
X 835 1670 835 835 4175
Y 1100 2200 1100 0 4400
Z 1470 0 1470 1470 4410
W 0 915 1830 915 3660
TOTAL 3405 4785 5235 3220 16645

OBENING BALANCE TOTAL

RM1 RM2 RM3 RM4
X 0 0 0 0 0
Y 835 1670 835 835 4175
Z 1100 2200 1100 0 4400
W 0 915 1830 915 3660
TOTAL 1935 4785 3765 1750 12235
GET
Total
133250
16645
149895
12235 Total value of begining material inventory 3375
137660

38978

UNIT TO BE
PRODUCED

7650
8350
8800
8800

Total pounds
needed for Cost to product
production
38250 9945
33400 8350
26400 7920
35200 11440
133250 37655
PAYABLE BUDGET
For the Year Ended December 31, 2025
Current year Next year Year end
Direct materials 297,600 19.489 297,619
Direct labour hours 0 630000 630000
Overhead expenses 0 336204 336204
Other expense 200000
Capital expenditure 0
Cash payment during the year 365956
Ending balancee of payable 1097868
Assumption: Materials are purchased by only one supplier
Current payable are from purchasing material
25% payables will be deducted by cash payments
Non-current liabilities for the next year is as the same as current year
DETAILS OF PAYABLES
FOR DIRRECT MATERIALS
RM1 RM2 RM3 RM4
Current year 56000 35780 95625 110195
Next year 5254 8160 17548 8016
Total 61254 43940 113173 118211
FOR DIRECT LABOUR HOUR
Current year 0
Next year 630000
FOR OVERHEAD EXPENSES
Current year 0
Next year 336204
FOR OTHER EXPENSES
Current year 0
Next year
FOR CAPITAL EXPENDITURES
Current year 0
Next year 0
Total
297,600
19.489
297,619
OVERHEAD BUDGET
For the Year Ended December 31, 2025

X Y Z W Total
Units to be produced 7650 8350 8800 8800 33600
Indirect matreial (pounds per unit) 2.5 2.5 2.5 2.5
Indirect material (cost per poun 1.5 1.5 1.5 1.5
Total cost of Indirect material 28687.5 31312.5 33000 33000 126000
Indirect labour hours per unit 1 1.2 1.4 1.4
Indirect labour rate per hour 0.4 0.4 0.4 0.4 \
Total cost of Indirect labour 3060 4008 4928 4928 16924
Variable utilities per unit 0.8 0.8 0.8 0.8
Total cost of Variable utilities 6120 6680 7040 7040 26880
Supervior salaries 10000 10000 10000 10000 40000
Maintainance salaries 8000 8000 8000 8000 32000
Insurance 5000 5000 5000 5000 20000
Depreciation for producting
activities 18600 18600 18600 18600 74400
Total 79467.5 83600.5 86568 86568 336204

*Note: Total overhead cost of X = Total (Cost of indirect material + Cost of indirect labour + Cost of variable utilities + Supe

Assumption: Assumption Supervisor expense for each genre product is equal

Assumption Maintainance salaries expense for each genre product is equal
Assumption Insurance expense for each genre product is equal
Assumption depreciation expense for each genre product is equal
st of variable utilities + Supervisor salaries + Maintainance salaries + Insurance + Depreciation)
CAPTIAL EXPENDITURE BUDGET
For the Year Ended December 31, 2025
Purchases in
Fixed asset purchases Current year next year Next year
Furniture and fixtures 590520 0 590520
Office equipment 147630 0 147630
Production equipment 442890 0 442890
Vahicles 147630 0 147630
Unspecified purchases 147630 0 147630
Subtotal
Assuptions: No payments for purchasing fixed assets in the next year
RECEIVABLE BUDGET
For the Year Ended December 31, 2025
X Y Z W Total
Current year 42000 150000 365000 63000 620,000
Next year 337500 412500 437500 495000 1682500
Total receivables 379500 562500 802500 558000 2,302,500
Cash receipted during the year 94875 140625 200625 139500 575625
Ending balance of receivables 284625 421875 601875 418500 1,726,875
Assumption: Businesses only have revenue from selling products X, Y, Z
Cash receipted during the year = 25% total reci
OTHER OVERHEAD BUDGET
For the Year Ended December 31, 2025
Depreciation Operating
Current year 74,400 150,000
Next year 103341 200000

FOR DEPRECIATION
Cost Depreciation Value in use
Furniture and fixtur 590520 59052 531468
Office equipment 147630 14763 132867
Production equipme 442890 74400 368490 Ajusment in
Vahicles 147630 14763 132867 assets
Unspecified purchas 147630 14763 132867
Total 1,476,300 177741 1,298,559
FOR OPERATION
Current year Next year
Administrative expense 150000 200000
For Non-executive directors 20000 20000 Adjustment for
cash and
For Executive directors 25000 25000 payable
For non-producting department 105000 155000
Assumption: The bussiness have only production & operation activities. No financial activiti
GET

Production equipment deprecition is not included in other overhead expenses

tivities. No financial activities
CASH BUDGET
For the Year Ended December 31, 2025
Begining cash balance 1,035,400
Cash receipt from trade receiva 575625
Cash disbursement
Materials 365956
Direct labour 0
Manufacturing overhead 0
Operating expense 0
Equipment 0
Purchase 0
Devidend 150000
Total disburments 515956
Excess 1,095,069
Financing
Borrowing 0
Repayments 0
Interest 0
Total financing 0
Ending cash balance 1095069
BUDGET STATEMENT OF FINANCIAL STATEMENT
For the Year Ended December 31, 2025
Non-current assets 1,298,559
Current assets 3,025,147
Inventories 203,203
Receivables 1,726,875
Cash 1,095,069
4,323,706
Equity and Liabilities
Equity 2,681,963
Common stocks 2,524,461
Retain earnings 307,502
Devidends -150,000
Current liabilites
Trade payables 1,097,868
Non-current liabilities 543,875
4,323,706
BUDGETED INCOME STATEMENT
For the Year Ended December 31, 2025
£'000
Revenue 1,682,500
Cost of sales 969,156
Gross profit 713,344
Operating expenses 200,000
Depreciation 103,341
Profit for the year 410,003
Tax expense 102,501
Profit after tax 307,502