The year end of M Inc is 30 November 20X0. The company pays for its gas by a standing order of $600 per month. On 1 December 20W9, the statement from the gas supplier showed that M Inc had overpaid by $200. M Inc received gas bills for the four quarters commencing on 1 December 20W9 and ending on 30 November 20X0 for $1,300, $1,400, $2,100 and $2,000 respectively. Which of the following is the correct charge for gas in M Inc's statement of profit or loss for the year ended 30 November 20X0? A $6,800 B $7,000 C $7,200 D $7,400
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.
The year end of M Inc is 30 November 20X0. The company pays for its gas by a standing order of $600
per month. On 1 December 20W9, the statement from the gas supplier showed that M Inc had overpaid
by $200. M Inc received gas bills for the four quarters commencing on 1 December 20W9 and ending
on 30 November 20X0 for $1,300, $1,400, $2,100 and $2,000 respectively.
Which of the following is the correct charge for gas in M Inc's statement of profit or loss for the year
ended 30 November 20X0?
A $6,800
B $7,000
C $7,200
D $7,400
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