The CEO of J&B, Ld., would like to propose in the next Council meeting a rise of capital as one of the possible ways to increase the forecast of the working capital for the next financial year and reached 6,000,000 €. This number will allow the company to have a degree of robustness comparable to other competitive companies in the industry. Raw Materials Salaries Overheads Daily Amount 60.000 150.000 90.000 Average Deferments (days) 10 7 ? If the operating cycle is 30 days, what should the manager answer if a director asks him about the average deferment of the overheads?
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.
Please Explain in detail.
![The CEO of J&B, Ld., would like to propose in the next Council meeting a rise of capital as one of the
possible ways to increase the forecast of the working capital for the next financial year and reached
6,000,000 €. This number will allow the company to have a degree of robustness comparable to
other competitive companies in the industry.
Daily Amount
Average Deferments (days)
Raw Materials
60.000
10
Salaries
150.000
7
Overheads
90.000
If the operating cycle is 30 days, what should the manager answer if a director asks him about the
average deferment of the overheads?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb4f300de-61c2-41b4-a064-bc006d7b726b%2Fb7565219-467f-4f23-9f27-bd770b5dd2e0%2Faeuaeja_processed.jpeg&w=3840&q=75)
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