Echo Amplifiers prepared the following sales budget for the first quarter of 2018: Feb. Jan. Units 1,000 1,300 1,500 Sales price $100 $100 $100 Budgeted sales $100,000 $130,000 $150,000 It also has this additional information related to its expenses: Direct material per unit Direct labor per unit Variable manufacturing overhead per hour Fixed manufacturing overhead per month Sales commissions per unit Sales salaries per month Delivery expense per unit Factory utilities per month Administrative salaries per month Marketing expenses per month Insurance expense per month Depreciation expense per month Mar. Budgetnd Sales in Units Variable Expenses Tutal Variable Expenses Fixed Expenses $1.50 2 Prepare a sales and administrative expense budget for each month in the quarter ending March 31, 2018. Enter all amou Echo Amplifiers Sales and Administrative Budget For the Quarter Ending March 31, 2018 January February 0.50 2,900 15 5,000 0.50 6,000 21,000 8,000 10,000 9,000 10000000 1000 10000000 1000 0 10000000 10100011
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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