Thanks a million. Open Tuition is above and beyond everything. I passed my FAB scoring 78% and FFA 70%. i have my FMA cbe in two days. Fingers crossed.
Please help me with Production budgeting. If budgeted sales (aka Sales requirements derived from market demand) equals 4000 units; Opening Inventories equal 950; Closing inventories equal 1000. Why is the Production requirement = Sales requirement + Increase in finished goods inventory? (Calculating to 4050 = 4000 + 50 where 4050 is the Production requirement) I don’t understand how production requirement relates to opne and closing inventories
But where do you think that the inventories come from? We have to produce them. If we did not keep inventories then we would need to produce 4000. Here we do keep inventory and we want to increase it by 50 and so we need to produce an additional 50.
I understand that we need to produce them. I don’t understand why we use closing and opening inventories’ difference as the amount we want to increase/decrease it with. Why not use a % of previous sales for example?
There are no rules as to how a company decides on the level of inventory that it wants – there are many factors that they might consider. They might look at past demand, although more sensibly they would look at expected future demand. In exams you cannot be expected to decide yourself – you will be told how they intend to change the inventory and you follow the instructions.
Can somebody PLEASE tell me what is the examiner going to ask about cash, master, and flexed budgets?? I’m TOOOO tensed about this area!!! PLEASE somebody tell me!!!!!!
OMG!!!i have been so low on finance to enroll with a class so that i can get some hands on tutoring……….i was afraid that i would not be able to pass using only my textbook ..then God gave me the ultimate gift(OT) and my my my..it is doing wonders…..OT MAKES THE DEAF HEAR; THE BLIND SEE AND THE DOPE SMART…LOL. thx OT!!!sorry for the long post!!!
am having problems listening to the lectures,only the first two chapters are clear.the others only display the videos without sound.please advise me on what to do?
Abdullah says
where is chapter forecasting ? its in my bpp book :s
John Moffat says
We don’t design our lecture notes round the BPP book – we design them round the syllabus 馃檪
The examiner calls it ‘statistical techniques’ in the syllabus, and they are all covered in Chapters 17, 18 and 19 of our Course Notes.
Natalee says
Suppose the examiner only states two of the out of the four listed as one of the answer and then all the above… Which one would be best the choose?
Natalee says
Can i gets some Key Exam point to remember and pitfall to avoid when preparing a budget
John Moffat says
Everything in the lecture and the notes is important for the exam.
hamzaakber says
Greeting Teacher. please tell me the most important chapters to read as i dont have much time to go through whole book.
Thanks
John Moffat says
I am afraid that you will have to go through the whole book!
There will be 50 questions in the exam and they will cover the whole syllabus.
hamzaakber says
if i go through the online notes thoroughly instead of text book?
John Moffat says
That’s fine, provided that you get a revision/exam kit from one of the approved publishers and practice all the questions.
hamzaakber says
Thanks a million. Open Tuition is above and beyond everything. I passed my FAB scoring 78% and FFA 70%. i have my FMA cbe in two days. Fingers crossed.
hamzaakber says
I passed my FMA exam too. i got 58%. ThankYou very Much.
John Moffat says
Thats great – congratulations 馃檪
elle says
Please help me with Production budgeting. If budgeted sales (aka Sales requirements derived from market demand) equals 4000 units; Opening Inventories equal 950; Closing inventories equal 1000. Why is the Production requirement = Sales requirement + Increase in finished goods inventory? (Calculating to 4050 = 4000 + 50 where 4050 is the Production requirement) I don’t understand how production requirement relates to opne and closing inventories
John Moffat says
But where do you think that the inventories come from? We have to produce them.
If we did not keep inventories then we would need to produce 4000. Here we do keep inventory and we want to increase it by 50 and so we need to produce an additional 50.
elle says
I understand that we need to produce them. I don’t understand why we use closing and opening inventories’ difference as the amount we want to increase/decrease it with. Why not use a % of previous sales for example?
John Moffat says
There are no rules as to how a company decides on the level of inventory that it wants – there are many factors that they might consider. They might look at past demand, although more sensibly they would look at expected future demand. In exams you cannot be expected to decide yourself – you will be told how they intend to change the inventory and you follow the instructions.
saqibsheeraz says
Effective …)
suranji says
this is grt……..thnk you so much OT !!!!!
sally925 says
Can somebody PLEASE tell me what is the examiner going to ask about cash, master, and flexed budgets?? I’m TOOOO tensed about this area!!! PLEASE somebody tell me!!!!!!
John Moffat says
He can just check that you know what they are.
accakeisha says
OMG!!!i have been so low on finance to enroll with a class so that i can get some hands on tutoring……….i was afraid that i would not be able to pass using only my textbook ..then God gave me the ultimate gift(OT) and my my my..it is doing wonders…..OT MAKES THE DEAF HEAR; THE BLIND SEE AND THE DOPE SMART…LOL. thx OT!!!sorry for the long post!!!
maazalimughal says
@accakeisha, same was the case with me..
OT you really do wonders..
Reena says
Very good explanation on type of budgets
zaidh11 says
use a different web browser!
M. Osman Kamran says
Great.
shareef82 says
v good
chiff says
am having problems listening to the lectures,only the first two chapters are clear.the others only display the videos without sound.please advise me on what to do?
admin says
see https://opentuition.com/support/
siawlong85 says
the video stop half way~ can someone pls do something on it?
admin says
You can do it, press play again
bogiwa says
nice intro
allamardneket4 says
why does the video stops?
admin says
Your Internet connection may be slow
lduvalier says
good
jameel007 says
good
naveedbahrain says
good
sohailssaeed says
Good and important chapter of BUDGET.