The For Implementing A Budget At Tbm Productions - 1294 Words

Therefore, the total loan amount that TBM Productions requested loan amount is $239,981. Controls: The system in place for implementing a budget at TBM Productions is Cost Management. Cost managements is a process of controlling and planning the budget of a business. Implementing a cost management structure for projects is key to assist TBM Productions for going over budget hence, keeping the over-all budget under control by monitoring costs and increase profitability. Furthermore, there is costing system option is Activity Base Costing (ABC). ABC is a method to help with the concerns of properly allocated overhead costs. The main objective with ABC method the overhead cost will be assigned to different cost pools and then†¦show more content†¦Therefore, if a fan at a live show is impressed with the performance they can chose to show support or may want to hear more of the artist(s) material. Hence, studies shows that consumers are more likely to experiment with new artist(s) if the new artist(s) are found on that of the record label that the consumer is familiar with because it will increase buyer’s confidence. Direct Cost of Goods: †¢ Intellectual property cost. †¢ Mixing and mastering expenses. †¢ CD production from start to finish. †¢ Distribution and marketing expenses Sales Forecast: Honestly, sales will initially be slow, it is forecasted that it takes money to make money, therefore the compilation CD one will be given away for free. It is also duly noted that sales revenue is not anticipated to happen yet. However, by compilation CD two and three Troy Bud Production will have signed at least two artist(s) or groups, which will be the beginning of generating revenue through CD sales. Another tool to utilize to generate sales will be the use of online CD sales this will increase margins because online sales eliminates the middleman, the retailers distribution channel and opens up the Internet sales channel. Also another source of revenue not to rule out is