FINANCE & ACCOUNTS

Finance & Accounts

Finance & Accounts

Task # 3

GRAPH: 1

January

February

March

Total

 

£'000

£'000

£'000

£'000

North

2,431

3,001

2,189

7,621

South

6,532

5,826

6,124

18,482

West

895

432

596

1,923

Total

9,858

9,259

8,909

 

The chart provides with a detailed budgeted sales for North, South and west regions. The blue bar represents the budgeted sale for january. The the red bar represents the budgeted sales for february and the green bar represnts the budgeted sales for the month of March. The chart provides with a comprehensive information for making decision making and its easy to campare each regions sale with other regions sale.GRAPH :2

Budgeted sales figure for north

January

February

March

Total

North

2,431

3,001

2,189

7,621

Budgeted sale figure for south

January

February

March

Total

South

6,532

5,826

6,124

18,482

Budgeted sales figure for west

January

February

March

Total

West

895

432

596

1,923

The above three charts represents the detailed sales budget figures for the three different regions North , South and west. The charts provide with a separate representations for each budgeted sales figures which enales the manbager to critically analyze the budgeted sales figuire of each region in details and take appropriate decions. Although these charts don't provide with the comparison analysis with other regions.Graph :3

Total budgeted sales for North, South and West

 

total figures

North

7,621

South

18,482

West

1,923

The chart provides with the total sales budget for each region. Instead of providing with the detailed montlhy figures for each month this chart focuses on the total sales figure for each region.

The best aid for decision making

Out of these three disticnt types of graphical representations through different charts. The best format is the first one “ Bar chart” graph which provide with a detailed analysis of the three regions with their respective montly budgeted sales. The chart will enable the management to have a better and in-depth look at the budgeted sales forecast as it provides comparision with other regions on monthly basis.

Task :4

(A)

Economic Order Quantity

annual requirement

3600

 

cost per order

3.5

25200

 

store/ holding cost

0.4

1.56

16153.85

cost per unit

3.9

 

E.O.Q

127.0978

Average stock = order quantity divided by 2

AVERAGE STOCK

3600

2

1800

(Number of orders = Annual demand (3,600) divided by ...