JET2 TASK 2 1 JET 2 TASK 2: Financial Analysis Theo Adams Western Governors University MBA Program JET2 TASK 2 2 (A1) Budget Concerns Investopedia defines Budget as an "estimation of the expenses and revenues over a specific future period of time. Budgets can be made for a group of people, family, person, country, business, government, organization or anything else that makes or spend money. The budget is a micro economic concept that shows the trade-offs made when one good is exchange
pulled their funding to their rides. Competition Bikes has not presents a plan that would support their projections. Competition Bikes should lower there should lower the expected units sold so not to over order raw materials that will not be needed. 2. Competition Bikes has budgeted $150,000 for utilities for year nine the same as year eights. In year seven Competition Bikes only spent $135,000 on utilities and they produced 4000 units compared to year eights 3400 units. The utilities budget is too
JET2 Task 2 A1. Concerns There are many concerns with the budget planning for Competition Bike. From year 2006 to 2008, Competition Bike experienced a 13.3% increase in sales. In year 9, sales are projected to increase to 3510 units to give sales revenue of $5,247,450. This is a bold increase after 3400 units sold in 2008 and 4000 sold in 2007. I do not think the sales will be as robust with the economy rebounding. Sales projections should be 3425 with net sales at $5,120,375. Since the
Subject: Financial Statement Analysis – Task 2 Summary Report A budget, as defined by Hilton (2009 pg 348), is a detailed plan, expressed in quantitative terms that specifies how resources will be acquired and used during a specific period of time. A budget is a financial document utilized to project future income and expenses. A budget is based on how much you make in income and what your monthly expenses are. Budgets evaluate performances while the plan is what is going
065). Corrective action: CBI should take into account the market conditions and the economic downturn when estimating units sold and net sales for year 10. In their flexible budget they could factor in various sales scenarios, such as flat sales, a 2% increase and a 5% increase. Within the Variable Costs section, all of the line items included favorable variances: Direct materials Planned Budget: $2,292,028 Flexible Budget: $2,235,219 (favorable variance of $56,809) Direct Labor Planned
and the benefits of airline and airport mergers and acquisitions, and will look specifically at the acquisition of Monarch Airlines by Jet2.com (known as Jet2(b) later in this report). It will also look at similar acquisition benefits of Leeds Bradford Airport (LBA) by Heathrow Airport Holdings Ltd (HAH). 2. Overview of Airlines 2.1 Jet2.com Founded in 2003, Jet2.com Ltd is part of the Dart Group Plc and is the fourth largest leisure airline in the UK, serving the North and is based at Leeds Bradford
Introduction: JET2 Task 2 Summary Report for Budgetary Planning Competition Bikes, Inc. will be reviewed for its various budgets and for its budgetary planning. Budgets are the main planning tool in all businesses that are used by managers to executive management to make decisions for the company. Cash flow is the bloodline of any organization’s operation including operating activities that determine how much cash stays in the organization called revenues and how much is paid out as an expense
Custom Snowboards Inc. Managing Capital & Financial Assets 04/19/2014 WGU JET2 Financial Analysis Task 5, Part I - PASSED To: Vice President for Chief Financial Officer (CFO) The following is a summary report is an analysis of the current financial statements of Custom Snowboards Inc. The company wishes to be considered for an extended long term loan for a European expansion. We have arrived at a selection of key financial statement line items, conducted a risk assessment, and ratios
Competition Bikes Inc. Storyline Operational Analysis 03/10/2014 WGU JET2 Financial Analysis Task 2 Introduction In this task, the budget schedule and proformas as well as the flexible budget were reviewed. Below you will find my analysis and recommended corrective actions as well as how management by exception applies. Budget Planning Concerns Competition Bikes has a good starting point for a budget but is overall weak and has several budgetary concerns. A few of those items are
Competition Bikes Finical Analysis Dan Petersen WGU – JET2 Finical Analysis Task 4 A. 1. To: Vice President This report has been prepared to argue the case that the company’s current costing method should be changed to the activity based costing method. This report will review; the difference between traditional based costing and activity based costing; traditional split and allocations with activity based costing; and discusses the breakeven point for Competition bikes Inc. with