Master budget preparation Sopchoppy Company manufactures a red industrial dye. The company is preparing its 2000 master budget and has presented you with the following information. The December 31, 1999, balance sheet for the company is shown below. SOPCHOPPY COMPANY Balance Sheet December 31, 1999 AssetsLiabilities and Stockholders’ Equity Cash $ 5,080 Notes Payable $ 25,000 Accounts Receivable 26,500 Accounts Payable 2,148 Raw Materials Inventory […]

A budget can be defined as an itemized listing of the amount of all estimated revenue or income which the school anticipates receiving, along with a listing of the amount of all estimated costs and expenses that will be incurred during a given period of time (Wango Geoffrey, 2009:211). A school budget can be defined as a document or statement outlining a school’s revenue (income) […]

In the past years, ethical issues involving public officials and funding have emerged thereby directing the spotlight not only at the officials connected but also the means in which the channel of funding is suddenly considered as an enabler of corruption. In the past years, especially during the recent elections, the term “earmarks” have been thrown around by candidates. Although earmarks are legislated through the […]

There are a different number of budget approaches that an organization can adopt, namely incremental budgeting and zero-based budgeting. Incremental budgeting as its name implies is a procedure that is mainly based on the past costs of the company.  Indeed, expenditure is determined by referring to what was spent last year and adding an additional percentage to cater for inflation and other cost driver forces.  […]