Edil Producers, Inc. will start its commercial operations in January 1, 2019. The sales forecast per the sales manager’s estimates for its first year of operations is 50,000 units. However, the production manager estimated that only 80% of the sales forecast can be produced with the available workforce and equipment. The product will be sold for P20 per unit. The budgeted peso sales for Edil Producers Inc.’s initial year of operations is
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.
- Edil Producers, Inc. will start its commercial operations in January 1, 2019. The sales
forecast per the sales manager’s estimates for its first year of operations is 50,000 units. However, the production manager estimated that only 80% of the sales forecast can be produced with the available workforce and equipment. The product will be sold for P20 per unit. The budgeted peso sales for Edil Producers Inc.’s initial year of operations is
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