Instructions: For this assignment, you will create a Year 1 and Year 2 budget for a proposed varsity-level football team in Lambton County, Canada. The “Bluewater Football Association” case study provides you with information to begin putting together a Year 1 budget. The “Bluewater FA Budget” MS Excel document should be used to organize budgetary information related to estimated revenues and expenses for Year 1 and Year 2.
Discussion Questions
1) What were estimated total revenues for Year 1 of team operations? What were the estimated total expenses? What was the projected net income (or loss) after Year 1 of team operations? List 4-5 key assumptions that you made to produce the Year 1 budget and describe how each assumption contributed to the final net income (or loss) estimate for Year 1.
2) What were estimated total revenues for Year 2 of team operations? What were the estimated total expenses? What was the projected net income (or loss) for Year 2 of team operations? Describe your process for implementing a modified zero-based budgeting approach to compile the Year 2 budget. What were some key factors carried over from Year 1? What were some new assumptions made for the Year 2 budget? Explain your rationale for each carry-over factor and new assumption mentioned above.
