1. Describe the items reflected in the sales budget. 2. List the items included in the production budget 3. Identify the items that comprise the operating budget Exercises 2: Word Problems Roel Trading Company presents the actual sales for the first three months of year 2019 in its own products as follows: Product A Product B Total Sales Janaury February March P 880,000 P 941,000 P 1,006,750 The business expects that the trends for the past three months will P 340,000 P 374,000 P 411400 P 540,000 P 567,000 P 595,350 continue in April and May 2019. Required: Determined the projected sales for April and May 2019 for the two products. Round the amounts to thousand pesos.
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
![Exercises 1: Questions for discussion
1. Describe the items reflected in the sales budget.
2. List the items included in the production budget
3. Identify the items that comprise the operating budget
Exercises 2: Word Problems
Roel Trading Company presents the actual sales for the first three
months of year 2019 in its own products as follows:
Product B
P 540,000
P 567,000
P 595,350
Product A
Total Sales
Janaury
February
March
P 880,000
P 941,000
P 1,006,750
The business expects that the trends for the past three months will
P 340,000
P 374,000
P 411400
continue in April and May 2019.
Required: Determined the projected sales for April and May 2019
for the two products. Round the amounts to thousand pesos.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6c988a42-85c7-49a7-a0d7-dd845c856d2a%2Fdeba60e5-15d4-4a6a-89af-61c706eb9b3e%2Fh16buzyh_processed.jpeg&w=3840&q=75)
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