Boulware Company's budgeted production calls for 6,000 units in October and 9,000 units in November. Each unit requires 7 pounds (bs) of raw material A. Each month's ending inventory of raw materials should equal 25% of the following month's budgeted materials requirements. The October 1 inventory for this material is 10,500 pounds. What is the budgeted materials purchases in pounds for October? Multiple Choice 42,000 pounds 42250 pounds 57750 pounds 68,250 pounds
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.
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