The following budgeted production and sales information is for Flushing Company for the month of December: Line Item Description Product XXX Product ZZZ Estimated beginning inventory 30,600 units 18,000 units Desired ending inventory 36, 200 units 14,300 units Region I, anticipated sales 307,000 units 266,000 units Region II, anticipated sales 194,000 units 144,000 units The unit selling price for product XXX is $7 and for product ZZZ is $15. Budgeted sales for the month is a. $10, 385,000 b. $9,657,000 c. $6,377,000 d. $13, 665,000
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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