A company, ABC Professional Services Ltd., is organizing a one-day corporate training workshop as part of its annual employee development program.…

A company, ABC Professional Services Ltd., is organizing a one-day corporate training workshop as part of its annual employee development program. The objective is to improve managerial efficiency, team coordination, and leadership skills of its employees. The workshop will be conducted at a premium venue, and may include interactive sessions, guest lectures, and team-building activities. Due to uncertainty in the number of participants, management wants to evaluate costs at different activity levels using a flexible budgeting approach. The company plans to conduct the workshop for different numbers of participants. Each training batch can accommodate a maximum of 50 participants. Two trainers will be engaged for each batch. The company will pay an honorarium of 1,000 per trainer. It will also hire the required number of venue and equipment setup. The following are the other cost estimates: Particulars Cost per participant (₹) Breakfast 80 Lunch 200 Evening Snacks 70 Training Material Kit 150 Other Costs Particulars Amount Hall rent 8,000 per batch Equipment charges 2,000 per batch Guest speaker fees 10,000 Event coordination charges 5,000 Other information No costs are incurred in respect of trainers except the honorarium of 1,000 per trainer.If the number of participants exceeds 100, an additional lump-sum supervision cost of 3,000 will be incurred.A discount of 10% on hall rent will be available more than 3 batches are hired. Management asked you to prepare a flexible budget and answer the following questions (MCQs 6 to 10):