New fashion sales of 306,000 for the quarter ended December 31st. The companys gross profit rate averages 15% of sales. Inventory as of September 30th is 106,000. If the December 31st inventory is targeted at $46,000, budgeted purchases for the quarter should be what?
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.
New fashion sales of 306,000 for the quarter ended December 31st. The companys gross profit rate averages 15% of sales. Inventory as of September 30th is 106,000. If the December 31st inventory is targeted at $46,000, budgeted purchases for the quarter should be what?
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