NUBD Co. is budgeting sales of 53,000 units of product Nous for October 2000. The manufacture of one unit of Nous requires 4 kilos of chemical Loire. During October 2021, NUBD plans to reduce the inventory of Loire by 50,000 kilos and increase the finished goods inventory of Nous by 5,000 units. There is no Nous work in process inventory. How many kilos of Loire is NUBD budgeting to purchase in October 2021?
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.
Step by step
Solved in 2 steps with 1 images
