Tower Company produces and sells two products; B and C. The company estimated the sales of the products as 45000 units for B and 35000 units for C. The opening stock and estimated closing stock units are given in the table below. C Opening Stock 12000 14000 Closing Stock 7000 9000 Which of the following shows the number of units to be produced in the Production Budget.
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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