1. Analyse the management accounting techniques related to a range of
business situations and managerial decision making.
2. Prepare a budget to reflect a given business scenario.
3. Demonstrate the ability to assess the financial and non-financial aspects
of divisional and organisational performance.
Pink Tulips is a firm that serves the UK market and focuses on three important
areas of hospitality: Travel and Tourism; Food Services; Banquet and Events.
The company employs around 4100 people nationally and is committed to
ensuring a reliable supply of its services where and when they are needed. The
service industry is becoming more competitive and development cost are rising.
Cruise ships, airlines, agencies & tour operations including luxuries services
such as luxury brand managements, sales and marketing for international
brands and contract often provides additional work for the travel and tourisms
division of Pink Tulips.
Although the marketing department shows strong demand for the service that
Pink Tulips is providing (in 2019, the actual sales volume is approximately 12%
more than budget), the financial department shows the following information for
the period ending 30th June 2020 (In relation to last periods Accounting Profit).
Budget Actual Difference
(in millions) (in millions) (in millions)
Revenue £ 9.1 £ 9.4 -£ 0.3
Cost of sales 6.6 7.2 -£ 0.6
Gross margin £ 2.5 £ 2.2 +£ 0.3
Fixed expenditure 1.1 1.2 -£ 0.1
Operating profit £ 1.4 £ 1.0 +£ 0.4
Based on the information provided by the Financial Department, the directors
think they should do more to try and improve their profits in the next year and
should expand the business to boost up more revenues and cut cost of sales.
Imaging you are the Budget Analyst (Manager) for the company. You have
recently been invited to attend the company board meeting where the directors
who are experienced businessmen discussed their plans to expand the level of
business activity for the company to include other sectors of the service
industry. The CEO believes that owning different sectors of the hospitality
industry will offer Pink Tulips a chance to rake in more rewards in the long haul
and improve the financial appearance of the company.
The following ideas are put forward at the board meeting and the expansion will
involve one or two of the following:
• Bed & Breakfast
• Campgrounds and Convention Centres
• Restaurant & Bars
• Takeaway and Fast food
• Sports and Gaming
• Nightclubs and bars
Academic Year 2019/20 Page 3 of 5
The directors have asked you to draft a report to be addressed to the company
board of directors on the proposal and prospects of Pink Tulips that will set out
A. Discuss the information provided by the Financial Department and
assess the importance of flexible budget and variance analysis for Pink
Tulips to carry on the budget and decisions making process for the
B. Prepare an operating budget for the next 12 months that relate to the
company’s expected activities and objectives for 2020-2021.
C. Your report should include an assessment of both the financial and nonfinancial implication of the proposal for expansion and the implication on
the company performance using appropriate management accounting
techniques of your choice.
I. Assume that a year consists of 12 months of equal lengths
II. Assume the company plans to starts the expansion on 1 July 2019
III. Ignore taxation
In your report, identify and include reasonable estimate for any items you
include in the operating budget, for example, prices charged, advertising and
promotion used and related cost. You can use various sources (e.g. suppliers’
website) to obtain realistic figures for the items in the operating budget.
Why Choose Us
At Myhomeworkwriters.com, we always aim at 100% customer satisfaction. As such, we never compromise o the quality of our homework services. Our homework helpers ensure that they craft each paper carefully to match the requirements of the instruction form.
Professional Academic Writers
With Myhomeworkwriters.com, every student is guaranteed high-quality, professionally written papers. We ensure that we hire individuals with high academic qualifications who can maintain our quality policy. These writers undergo further training to sharpen their writing skills, making them more competent in writing academic papers.
Our company maintains a fair pricing system for all academic writing services to ensure affordability. Our pricing system generates quotations based on the properties of individual papers.
My Homework Writers guarantees all students of swift delivery of papers. We understand that time is an essential factor in the academic world. Therefore, we ensure that we deliver the paper on or before the agreed date to give students ample time for reviewing.
Myhomeworkwriters.com maintains a zero-plagiarism policy in all papers. As such, My Homework Writers professional academic writers ensure that they use the students’ instructions to deliver plagiarism-free papers. We are very keen on avoiding any chance of similarities with previous papers.
Customer Support 24/7
Our customer support works around the clock to provide students with assistance or guidance at any time of the day. Students can always communicate with us through our live chat system or our email and receive instant responses. Feel free to contact us via the Chat window or support email: email@example.com.
Try it now!
How it works?
Follow these simple steps to get your paper done
Place your order
Fill in the order form and provide all details of your assignment.
Proceed with the payment
Choose the payment system that suits you most.
Receive the final file
Once your paper is ready, we will email it to you.
Our Homework Writing Services
My Homework Writers holds a reputation for being a platform that provides high-quality homework writing services. All you need to do is provide us with all the necessary requirements of the paper and wait for quality results.
At My Homework Writers, we have highly qualified academic gurus who will offer great assistance towards completing your essays. Our homework writing service providers are well-versed with all the aspects of developing high-quality and relevant essays.
Admission and Business Papers
With Myhomeworkwriters.com, we will help you secure a position at your desired institution. Our essay writing services include the crafting of admissions papers. We will still help you climb your career ladder by helping you write the official papers that will help you secure a job. We will guide you on how to write an outstanding portfolio or resume.
Editing and Proofreading
Myhomeworkwriters.com has a professional editorial team that will help you organize your paper, paraphrase it, and eliminate any possible mistakes. Also, we will help you check on plagiarism to ensure that your final paper posses quality and originality.
My Homework Writers harbors professional academic writers from diverse academic disciplines. As such, we can develop homework writing services in all academic areas. The simplicity or complexity of the paper does not affect the quality of homework writing services.