Many companies begin preparation of the master budget with the sales budget because, for many organizations, sales are most Blank______.Multiple choice question.controllableuncertaindefinite
Question
Many companies begin preparation of the master budget with the sales budget because, for many organizations, sales are most Blank______.Multiple choice question.controllableuncertaindefinite
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 here and adjust other parts of the budget accordingly.
Similar Questions
All of the following are operating budgets except:Multiple choice question.production budgetsales budgetmerchandising budgetselling expenses budget
Marketing managers should determine objectives that will lead to a Blank______.Multiple choice question.deficitprofitcapital expenditure programhigh price
As part of creating a capital budget for a new venture, after creating a sales budget, an entrepreneur should Blank______.Multiple choice question.summarize his or her assetsprepare a pro forma balance sheetconcentrate on operating costsestimate a measure of the company's solvency
Multiple Choice QuestionAll of the following are ways that managers use the master budget except:Multiple choice question.to help in controlling coststo place blame on managersto help in the planning processto help in sensitivity analysis
Multiple Choice QuestionThe purchase price for each of the inputs required to produce a good or service is referred to in economics as Blank______.Multiple choice question.materials resource planningresource pricingsupply chain managementcost accounting
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.