All of the following are operating budgets except:Multiple choice question.production budgetsales budgetmerchandising budgetselling expenses budget
Question
All of the following are operating budgets except:Multiple choice question.production budgetsales budgetmerchandising budgetselling expenses budget
Solution
The correct answer is "merchandising budget".
Here's why:
-
Production Budget: This is an operating budget. It outlines the cost of direct materials, direct labor, and manufacturing overheads required to produce goods.
-
Sales Budget: This is also an operating budget. It estimates future sales revenue by multiplying the expected unit sales volume for each product by its anticipated unit selling price.
-
Merchandising Budget: This is not an operating budget. It is a part of the financial budget and it outlines the cost for purchasing merchandise inventory.
-
Selling Expenses Budget: This is an operating budget. It outlines the costs associated with selling products, such as advertising and sales commissions.
Similar Questions
A manufacturing company would typically prepare all of the following budgets except:Multiple choice question.Production budgetFactory overhead budgetCash budgetMerchandise inventory budget
A manufacturer's operating budgets consists of the: (Check all that apply.)Multiple select question.cash budgetsales budgetproduction budgetsselling expense budgetpurchases budget
All are the different kinds of budgets, EXCEPT:Question 16Answera.Rolling Budgetb.Operating Budgetc.Financial Budgetd.Electronic Budget
Which of the following budgets shows the company's planned profit?Multiple choice question.Budgeted balance sheetBudgeted selling and administrative expensesBudgeted income statementManufacturing overhead budget
Many companies begin preparation of the master budget with the sales budget because, for many organizations, sales are most Blank______.Multiple choice question.controllabledefiniteuncertain
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.