Garfield Corp. expects to sell 1,300 units of its pet beds in March and 600 units in April. Each unit sells for $150. Garfield's ending inventory policy is 10 percent of the following month's sales. Garfield pays its supplier $50 per unit. Compute Garfield's budgeted purchases for March Total Cost of Budgeted Purchases References eBook & Resources

Q: Explain the different purposes that a budget can have

A: Introduction:- Budgeting used to estimation of income and expenditure over a specified period of…

Q: better system for performance analysis?

A: A flexible budgeting system is a type of budgeting which is based on various sales volumes and it…

Q: Explain the value of utilizing a balance sheet to make a budget adjustment. What is the danger?

A: The budgeted balance sheet is usually prepared at the start of the fiscal year. The organization…

Q: How are budgets used as monitoring and control tools?

A: Budgets are quantitative statements that contain the details of the planned revenues, expenditures,…

Q: How is budget achieved in transportation.

A: Preparation and achieving the target of the prescribed budget is differentiated for the different…

Q: Describe what a cash budget entails.

A: A cash budget is a financial planning tool that helps businesses and individuals manage their cash…

Q: What are some limitations of the budgeting process?

A: Budgeting is an important exercise that is performed in most of the organizations. Budgeting has lot…

Q: What are the advantages and disadvantages of the participatory approach to budgeting?

A: Participative budgeting is a budgeting process in which the people who are in the lower levels of…

Q: What is the significance of Personal Budgeting? What are the advantages and disadvantages of…

A: A personal budget is a financial plan for allocating and utilizing their personal income and…

Q: Why is the sales budget so important to the budgeting process?

A: Budget:   It is a statement of estimated revenues and expenditures set for a specific period of…

Q: Describe the benefits of budgeting.

A:

Q: What are some common challenges or obstacles encountered in the budgeting process?

A: The budgeting process is a systematic approach that organizations use to plan and allocate financial…

Q: The master budget will comprise of what?

A: A MASTER BUDGET IS A SERIES OF SMALLER BUDGETS THAT ARE ROLLED UP INTO ONE LARGER BUDGET TO PROVIDE…

Q: Describe how many types of budgets are ?

A: The objective of the question is to understand the different types of budgets that are used in…

Q: What is a flexible budget? Explain? Give example?

A: Budgeting is a process to prepare the financial statement by the manager to estimate the…

Q: What

A: Budgets act as an instrument of coordination.

Q: What are the three major objectives of budgeting? Under what circumstances would a static budget…

A: Budgeting is a planning measure by which Business Entity make plan for the expected revenues and…

Q: budget flexed? Give an Example.

A: Flexing of budget is a method used to prepare estimates of the future level of revenues and…

Q: What are the potential problems in implementing budgets?

A: A budget is a financial plan that outlines an organization's expected income and expenses over a…

Q: What is a flexible budget? Explain how a flexible budgetincreases the usefulness of budgeting as a…

A: A flexible budget is a budget that can be easily adjusted to reflect the changes in the volume of…

Q: what are the 3rd and 4th steps to a master budget? Are there formulas that go with these steps?

A: Master Budget: The master budget is the core budget that explains the complete process of the…

Q: How do I do a master budget? what are the steps and formulas i will need?

A: Budget: Budget is an effective tool to achieve the financial and operational goals of the business.…

Q: Do you think the extra expense of providing  acapital budget is imortant?

A: The objective of the question is to understand the importance of the extra expense of providing a…

Q: what is the difference between bottom up and beyond budgetin

A: Budgeting is the process of determining the expected costs and revenues for a particular period by…

Q: Describe how nonoutput-based cost drivers can be incorporated into budgeting.

A: Budget: The budgeting is a process of preparing budgets and the evaluation of it to see whether the…

Q: What is a static budget? Explain? Give example?

A:

Q: What is a static planning budget?

A: Budget:   It is a statement of revenues and expenditures to be incurred by the company for a…

Q: How you direct and coordinate a  budgeting process ?

A: The objective of this question is to understand the process of directing and coordinating a…

Q: In what way is the budgeting process a valuable tool in planning?

A: The budgeting process is a valuable tool in planning because it provides a detailed roadmap for…

Cash budget

A cash budget is an estimate of an organization's cash flow for the future period. A cash budget forecasts future cash receipts and payments from various sources for a fiscal year. A cash budget can be created once a month or once a week to determine the organization's cash position and ensure its performance in relation to the budget. It aids in determining whether the company has enough cash and cash equivalents to meet its operational needs in the future. If cash receipts are insufficient to cover future expenses, an organization may plan to obtain funds from other sources. After estimating the sales, purchase, and capital expenditure budgets for the year, management develops a cash budget. These budgets are created to ensure that an organization's cash flow is managed. It is important to note that only cash transactions are recorded when actual cash enters and exits an organization.