cheesecakes Justin
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
Justin is starting a new business making cheesecakes for
sell at One Eleven Food Hall. He spent $ 35 to buy all
pans you will need to create your cheesecakes and you have
determined that the ingredients will cost you $ 6.50 per
cheesecake. Justin can spend a maximum of $ 125 on cheesecake
ingredients this week. What is the maximum number of
cheesecakes Justin can make this week?
Fixed cost =$35 (All units produced)
Variable cost per unit =6.5
Total cost =125
Let number of cheesecake =X units
Total cost =Fixed cost+Variable cost per unit x X
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