Ally Jones, manager of the Vodafone sales team, has the following budget for her department: Billings – long distance $350 000 Billings – tele card $70 000 Billings – toll free $260 000 Required: What type of responsibility centre best describes her department, and why

Ally Jones, manager of the Vodafone sales team, has the following budget for her department: Billings – long distance $350 000 Billings – tele card $70 000 Billings – toll free $260 000 Required: What type of responsibility centre best describes her department, and why

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Molly Malone is starting her own company in which she will produce and sell Molly’s Macaroons. Molly is trying to learn about the budget process as she puts her business plan together. Help Molly by explaining the optimal order for preparing the following budgets and schedules and why this is the optimal order. budgeted balance sheet budgeted income statement capital asset budget cash budget cash collections schedule cash payments schedule direct materials budget direct labor budget master budget manufacturing overhead production budget sales budget selling and administrative budget
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