Bramble Corp. budgets on an annual basis for its fiscal year. The following beginning and ending inventory levels are planned for the fiscal year of July 1, 2016 to June 30, 2017: June 30, 2017 June 30, 2016 Raw Materials 4000 kilos 3000 kilos Three kilos of raw materials are needed to produce each unit of finished product. If Bramble Corp. plans to produce 500000 units during the 2016-2017 fiscal year, how many kilos of materials will the company need to purchase for its production during the year? A. 1500000 B. 1508000 C. 1497000 D. 1501000
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.
Bramble Corp. budgets on an annual basis for its fiscal year. The following beginning and ending inventory levels are planned for the fiscal year of July 1, 2016 to June 30, 2017:
| June 30, 2017 | June 30, 2016 | |
| Raw Materials | 4000 kilos | 3000 kilos |
Three kilos of raw materials are needed to produce each unit of finished product. If Bramble Corp. plans to produce 500000 units during the 2016-2017 fiscal year, how many kilos of materials will the company need to purchase for its production during the year?
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