flexi budgeting HELP for tomorrow please

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
hi<BR>last minute brain lock, you know what its like,<BR><BR>ok, when flexing, .....ok with the budget one but on the ACTUAL, if sales and production same you just take across the actual figures the same, <BR><BR>what about if the sales is say 10000 and the production was 12000, what do you put in the ACTUAL column on the flexed one, ( flexing the budget to 10000) do you put the same or do you divide by the 12k times by the 10k.<BR><BR>please please help, am so stuck.<BR><BR>thanks

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    flexi budgeting HELP for tomorrow please

    hiya<BR><BR>You base it on Sales, not Production. If Production is more than sales you can almost guarantee that they'll ask you why there is a difference (and you explain about absorption costing, and marginal costing).<BR><BR>Hope this helps - STOP PANICKING!!<BR><BR>All the best for tomorrow - I'm sitting it too<BR>Mandy
  • System
    System Posts: 100,534 🤖 Admin 🤖
    flexi budgeting HELP for tomorrow please

    hi mandy<BR><BR>i know i know stop flapping!! i am going in a big hot bath in a minute to try to chill, did exam on monday, kinda tried my best and then got personal tax friday ( cap gains to revise tomorrow afto)<BR>but anyway, sorry bear with me :-) you said you based it on sales, not prod, so if the material costs in actual budget are based on the production level do i leave themthe same or change to the sale level,<BR><BR> the flexed budgeted one, material etc would all be on the sale level of actaul.<BR><BR>maybe it will be clearer after my soak!! <BR>thanks for your help.<BR><BR>good luck<BR>xx
  • System
    System Posts: 100,534 🤖 Admin 🤖
    flexi budgeting HELP for tomorrow please

    ok ok ok i think i have got it!! :-) had the long soak in a lovely big bubble bath, went back to all the past papers i got and all of a sudden someone switched the light on!! i think i know where i was getting all confuddled!!<BR><BR>so have shut the books, hope the 'light' stays on for tomorrow and i am going to bed!!<BR><BR>good luck to all for tomorrow morning, hope it a bit easier than mondays.<BR>xx

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