Copies of errors and corrections for your review

homework_market_errors_11_30.xlsx

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Sales Budget

	Robin Vanderhoeven
	11/30/12
Quik-Flik Company
Sales Budget
April - June 2006
		April	May	June	April-June Total
	Budgeted units	$ 35,000	$ 45,000	$ 60,000
	Price per unit	8	8	8
	Total credit sales estimated	$ 280,000	$ 360,000	$ 480,000	$ 1,120,000
Quik-Flik Company
Sales Budget						I found no errors on this sheet
April - June 2006
		April	May	June	April-June Total
	Budgeted units	$ 35,000.00	$ 45,000.00	$ 60,000.00	$ 140,000.00
	Price per unit	$ 8.00	$ 8.00	$ 8.00	$ 8.00
	Total credit sales estimated	$ 280,000.00	$ 360,000.00	$ 480,000.00	$ 1,120,000.00
Asma, Please note that I am NOT at all concerned with any formatting errors except for calculation formulas that are incorrect. FYI, the document formatting is my responsibility due to you not having the textbook example provided for you. All of the errors that I have found that I feel were your responsibility are highlighted in flourescent yellow and each budget has a copy of what you provided me and a copy of what I received from you and since edited as my final draft to submit.

Inventory, COGS, Purchses

Quik-Flik Company
Inventory, Purchases, and Cost of Goods Sold Budget
April- June 2006
		April	May	June	April-June Total
	Cost of goods sold	$ 175,000	$ 225,000	$ 300,000	$ 700,000
	Desired ending inventory
	for next month	202,500	270,000	180,000	652,500
	Total Inventory required	377,500	495,000	480,000	1,352,500
	Beginning inventory	(157,500)	(202,500)	(270,000)	(630,000)
	Purchases	$ 220,000	$ 292,500	$ 210,000	$ 722,500
Quik-Flik Company
Inventory, Purchases, and Cost of Goods Sold Budget
April- July 2006
		April	May	June	April-June Total	Source
	Cost of goods sold	$ 175,000	$ 225,000	$ 300,000	$ 700,000
	Desired ending inventory
	for next month	$ 202,500	$ 270,000	$ 180,000	$ 652,500
	Total Inventory required	$ 377,500	$ 495,000	$ 872,500	$ 1,745,000		There is an incorrect formula in the boxes and totals for the highlighted boxes are incorrect
	Beginning inventory	$ (157,500)	$ (202,500)	$ (270,000)	$ (630,000)
	Purchases	$ 220,000	$ 292,500	$ 210,000	$ 722,500

Operating Expense Budget

Quik-Flik Company
Operating Expense Budget
April- June 2006
		April	May	June	April-June Total
	Variable operating expenses:
	Commission expense	$ 35,000	$ 45,000	$ 60,000	$ 140,000
	Total variable operating expenses:	$ 35,000	$ 45,000	$ 60,000	$ 140,000
	Fixed operating expenses:
	Miscellaneous expense	$ 3,000	$ 3,000	$ 3,000	$ 9,000
	Salary expense, fixed amount	22,000	22,000	22,000	66,000
	Utilities expense, fixed amounrt	14,000	14,000	14,000	42,000
	Insurance expense, fixed amount	1,200	1,200	1,200	3,600
	Depreciation expense, fixed amount	1,500	1,500	1,500	4,500
	Total fixed operating expenses	$ 41,700	$ 41,700	$ 41,700	$ 125,100
	Total operating expenses	$ 76,700	$ 86,700	$ 101,700	$ 265,100
Quik-Flik Company
Operating Expense Budget
April- July 2006
		April	May	June	April-July Total	Source
	Variable operating expenses:
	Commission expenses	$ 35,000	$ 45,000	$ 60,000	$ 140,000
	Salary expense, fixed amount	22,000	22,000	22,000	66,000		Salary expense is a fixed expense
	Total variable operating expenses:	$ 57,000	$ 67,000	$ 82,000	$ 206,000		Totals are incorrect due to salary expense in wrong category
	Fixed operating expenses:
	Miscelleneous expense	$ 3,000	$ 3,000	$ 3,000	$ 9,000
	Utilities expense, fixed amounrt	$ 14,000	$ 14,000	$ 14,000	$ 42,000
	Depreciation expense, fixed amount	$ 1,200	$ 1,200	$ 1,200	$ 3,600		Depreciation expense is 1500 per month
	Insurance expense, fixed amount	$ 1,500	$ 1,500	$ 1,500	$ 4,500		Insurance expense is 1200 per month you have it switched with depreciation expense
	Total fixed operating expenses	$ 19,700	$ 19,700	$ 19,700	$ 59,100		Due to errors in above calulations it has the totals incorrect also for fixed operating expenses
	Total operating expenses	$ 76,700	$ 86,700	$ 101,700	$ 265,100

Budgeted Income Statement

Quik-Flik Company
Budgeted Income Statement
Three Months Ending June 30, 2006
			Amount	Source
	Sales revenue		$ 1,120,000	Sales Budget
	Cost of goods sold		700,000	COGS Budget
	Gross profit		$ 420,000
	Variable operating expenses:
	Commissions expense	$ 140,000		Operating expense budget
	Total variable operating expenses		140,000
	Contribution margin		$ 280,000
	Fixed operating expenses:
	Miscellaneous expenses	$ 9,000		Operating expense budget
	Salary expense	$ 66,000		Operating expense budget
	Uility expense	42,000		Operating expense budget
	Insurance expense	3,600		Operating expense budget
	Depreciation expense	4,500		Operating expense budget
	Total fixed operating expenses		125,100
	Operating income		$ 154,900
	Interest expense		(3,018)	Given
	Net income (loss)		$ 151,882
Quik-Flik Company
Budgeted Income Statement
Four Months Ending July31, 2006
			Amount	Source
	Sales revenue		$ 1,120,000	Sales Budget
	Cost of goods sold		$ 700,000	COGS Budget
	Gross profit		$ 420,000
	Variable operating expenses:
	Commissions expense	$ 140,000		Operating expense budget
	Miscellaneous expenses	$ 9,000		Operating expense budget	This is a fixed expense as per instructions
	Total variable operating expenses		$ 149,000		total is incorrect due to previous error
	Contribution margin		$ 271,000		contrbution margin incorrect for same reason
	Fixed operating expenses:
	Salary expense	$ 66,000		Operating expense budget
	Uility expense	$ 42,000		Operating expense budget
	Depreciation expense	$ 3,600		Operating expense budget	Depreciation expense is 4,500
	Insurance expense	$ 4,500		Operating expense budget	Insurance expense is 3,600
	Total fixed operating expenses		$ 116,100		total fixed operating expenses are incorrect due to the above errors
	Operating income		$ 154,900
	Interest expense		$ 3,018	Given
	Net income (loss)		$ 151,882