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Project brief -
The Managing Director of the Pedal Up Ltd is more than satisfied with regards to all the technical aspects surrounding the new take but before signing any contracts/trade agreements with the retailers ho requires a run business report which will appraise the launch of the new product This should also include break even charts and contribution analysis for presentation to the board.
He is also open to considering all suggestions regarding financing the new machinery and equipment.
As Pedal Up Ltd is a successful manufacturer of specialist racing bikes there is already a basic budgetary control system but the Managing Director believes the budgeting system needs to be more robust to cope with the planned growth and seeks your advice on how such a system could be implemented and the benefits that arise from having such a system in place.
Learners need to respond to the Managing Director's request by carrying out the following tasks and reporting on the findings:
1. Prepare a full product cost statement for the Streamline bike and suggest a suitable selling price.
2. Prepare a suitable analysis of the new product using break even principles.
Instructions - Need step by step calculations.
Attachment:- Case Study.rar
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