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SLC | S21W4 | Costs for entrepreneurs - Budgets

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sarahisham
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yesterdaySteemit4 min read

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We are the enjoying to the participating in this new season of the Steemit Learning Challenge and are the amazing to for the positivity to responsing to our activitys to on over the past of the weeks.

  • The importances of the apropriating to in our cost to calculations. so lets start to into how on a budget to the helping gues to expensess & the sets the foundation for pricing on the product to or services efectivelly.

What is a budget and its relationship with cost calculation?

A budget is a economically to the plans that or the aproximatelly to the costs required to or the produce on a products to or servicess. It relating to the expecting on expensess for the material on labor to & the other methods necesary for completing to a project or creating on a products.

The relationships to the b/w to budgetings & the cost of calculations is the directs. A budget to the providing to the substructure on for cost calculations by the outlinning the expected to the expenses. This is the helps to the controlling to the minimum price at which to a products to or the service should be the providing to the cover costs & to the achieved on gainfullnes.

Explain the importance of the budget in determining costs?

The budget playing to a searchings on role in cost of the resolutions as it:

Helps in the Making

A well on the make ready on the budgets to the allowed to the busineses to the deciding on whether a products to or the services is financialy on the possibles

Confirm Cost Controling

It on the keep to the tracking of all the expensess to the avoided to the over spendings & the under of the pricess

Improving to Profitabillity

The meaningful to the exacted of the costs on confirmed to that pricing on the strategys to the cover costs & the generated to the profits

Supported Financiall Plannings

A budget of the helping to the busineses to the planning for the futures on the investmenting & the manages to the resourcess to efectivelys

Prepare a budget for cake production, considering a 4% adjustment?

This engagement we will the calculating to the budget for the making cakes on considered both on direct & the indirect costs and a 4% adjustments to for unexpecing to the expensess.

Direct Costs

Cost TypeQuantityUnit PriceTotal
Flour10 kg$500/kg$5,0000
Sugar5kg$300/kg$1500
eggs20 pieces$15 per egg$300
butter2 kg$700 per kg$1400
cake box10 units$20 per unit$200

Total Direct Costs : $8,400

Indirect habit

ItemCost
Gas and Electricity$1,500
Oven Maintenance$1,000
Total Indirect Cost$2,500

Adjusting Budget

Total Costs Direct + Indirect

$8,400 + $2,500

= $10,900

4% adjustment

$10,900 × 0.04

= $436

Final Budget

$10,900 + $436

= $11,336

Prepare a budget for a hairdressing service, considering a 3% adjustment?

For this engagement we totally the budgets for the provided to the hair dresing on the favour of the included to the articles on the materials & the labor of the costs.

Direct Costs

ItemQuantity NeededUnit PriceTotal Cost
Shampoo and Products5 bottles$100 per bottle$500
Towels10 units$50 per unit$500
Scissors and Tools$1,000$1,000

Total Direct Costs $2,000

Indirect habit

ItemCost
Rent and Utilities$1,500
Chair Maintenance$500

Total Indirect Costed : $2,000

Adjusted Budget

Total Costs Direct + Indirect

$2,000 + $2,000

= $4,000

3% Adjustment

$4,000 × 0.03

= $120

Final Budget: $4,000 + $120 = $4,120

i invite to call @ahsansharif , @simaroy @shahid76

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