Allocation of financial resources, Finance Basics

Assignment Help:

Allocation of financial resources to the different department can be done based on the past experience of the expenses and other available relevant information. Looking at the requirement of the organization, I find that the budget should be allocated for Payroll Payment and other employee payments, for purchase of food and beverages, for housekeeping and related purchases and utilities (operating expenses) for the rooms, restaurants and banquets and other general and administrative expenses. The allocated budget is as below:-


2012 E

2011

2010

Remark

Revenue




 

Rooms, Restaurants and Other services

1312

1093

920

Increase by 20%

Food & Beverages

667

580

489

Increase by 15%

Other Income

50

51

111

In line with 2011

Total Income

2029

1724

1520

 

Expenses




 

Food and Beverages Cost

156

136

113

23.45% of sales value

Employee Payment

478

416

360

Increase by 15%

Other Operating Expenses

374

325

269

Increase by 15%

General Expenses

406

387

361

Increase by 5%

Total Expenses

1415

1264

1103

 

 

 


Related Discussions:- Allocation of financial resources

the trade-off theory of capital structure, Please describe the trade-off t...

Please describe the trade-off theory of capital structure and how it vary from the Modigliani and Miller theorem with taxes.

Identified two mutually exclusive projects, The director of capital budgeti...

The director of capital budgeting for a firm has identified two mutually exclusive projects, A and B, with the following expected net cash flows: Expected Net Cash Flows Year

Valuation of business, Valuation of Business A business may be valued ...

Valuation of Business A business may be valued for different type of reasons that as for merger, acquisition, or takeover or liquidation or outright sale.  During purchasing a

Operating cycle, Discuss the applicability of an operating cycle in the veg...

Discuss the applicability of an operating cycle in the vegetable growing business

Work, A bond that has $1000 face value and a contract interest rate of 11.4...

A bond that has $1000 face value and a contract interest rate of 11.4%. The bonds have a current value of $1124 and will mature in 10 years. The firms marginal tax rate is 34%. The

Yield to Maturity, A bondholder buys a bond maturing in two years for Rs. 1...

A bondholder buys a bond maturing in two years for Rs. 120 and earns Rs.15 per annum as interest. His YTM is ______ %.

Leverage and coverage ratios, Leverage and Coverage Ratios   (The dat...

Leverage and Coverage Ratios   (The data for interest coverage are in I-Metrix's liquidity ratios section.  The others listed in this table are in the leverage ratios section

Incentive problem and consumption of perquisites, Incentive Problem and Con...

Incentive Problem and Consumption of Perquisites Incentive Problem Managers may have fixed salary and they may have no incentive to work hard and maximize shareholders weal

Time value of money problems, if you won the publisher''s clearing house $1...

if you won the publisher''s clearing house $10 million prize (payable as 30 pmts of $250,000 and $2.5m in yr. 30) and could invest the money at 8%, would you accept an offer of $3.

Working capital, Working Capital a) Working capital or called gross wo...

Working Capital a) Working capital or called gross working capital also, refers as current assets. b) Net working capital refers to current assets minus current liabilities

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd