The company has the following information available for the preparation of the budget for the second quarter of 2023 (April-June): April Sales forecast in dollars 244455 May 268901 June 293346 July August September October 317792 354460 391128 427796 The company collects 60% of its sales during the month of the sale, 30% the following month, and 10% two months after the month of the sale. The selling price of the product is $5.60 per unit. REQUIRED: Determine the cash collected in the April to June quarter. Do not use dollar symbols, commas, or decimals. Answer:
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.
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