ACCOUNTS
Question 3 In this section I will discuss other points of importance which will brought up at the next budget meeting as an amplification of or an additional to the information in the Make or buy projection and the Discount net cash flow. When producing the projections to consider weather to Make or Buy the investment there were many additional issues that needed to be raised. These issues may have changed the overall outcome to make or buy the investment. The materials cost of one single casing for 2004 was set at £180, but in the next two years the material were thought to increase by a further 6% each year. Also the Direct Labour cost for 2004 was expected to cost £83,200, but the wage was estimated to rise each year by 3%.