Changing the Sales Budget Calculation Formula

You can use formulas to update budgets for one or more customers. With a formula, you can adjust a budget by a certain dollar amount or a certain percentage. For instance, you can increase all of this year's budgets by 10% over last year's budgets. This year is the year you specify, last year is always the year prior to the specified year.

Applying a formula to multiple budgets is much faster than opening and editing the Sales Budget Detail Maintenance screen for each customer. This instruction shows how to apply formulas to selected budgets from the Calculate Monthly Budgets screen, but you can also do so from the Sales Budget Queue. The system uses the message system to notify you when the formula calculations are complete.

To calculate customer sales budgets:

From the Files > Sales Budgeting menu, select Sales Budget Monthly Calculations to display the Calculate Monthly Budgets screen.
In the Year field, enter the year for which to calculate monthly sales budgets.
Filter the list of sales budget records, if needed.
Use the Formula hot key to display the Budget From selection list.
Select whether to create a budget from this year's actual sales or last year's actual sales and press Enter to display the Sales Budget Formula screen.
In the Formula for Budgeted Sales field, enter the formula to apply to the selected sales amount (This Year Actual or Last Year Actual). The system uses this formula to calculate the new budgeted sales amount. For example, to set the budget at 5% more than the actual sales, enter *1.05 in this field.
In the Formula for Budgeted GP% field, enter the formula to apply to the selected gross profit percentage (This Year Actual or Last Year Actual). The system uses this formula to calculate a new gross profit percentage for the new budget. For example, to increase the gross profit percentage by 2% for the new budget, enter +0.02 in this field.

Note: You cannot enter a formula for the Budgeted GP% field only.

If you accessed this screen from the Sales Budget Queue, in the Apply Formula to All Customers field, to apply the formulas to all customers, enter Y. If you enter N, the budget applies only to the customer on which the cursor resides on the Sales Budget Queue screen.

Note: If you accessed this screen from the Calculate Monthly Budgets screen, the system applies the formula to all customers regardless of the value in this field.

Press Esc. to save the information and exit the screen.

Note: If the system calculates any negative amounts, it updates those budget amounts to be 0 (zero).