Many companies begin preparation of the master budget with the sales budget because, for many organizations, sales are most Blank______.Multiple choice question.controllabledefiniteuncertain
Question
Many companies begin preparation of the master budget with the sales budget because, for many organizations, sales are most Blank______.Multiple choice question.controllabledefiniteuncertain
Solution
The correct answer is "uncertain". Many companies start with the sales budget because sales are often the most uncertain factor. It's difficult to predict exactly how much of a product or service will sell in a given period, so companies often start with this budget to estimate their revenues and plan their expenses accordingly.
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