The Single Most Important Output in Preparing Financial Budgets Is

question 39

Multiple Choice

The single most important output in preparing financial budgets is the

• A) sales forecast.
• B) determination of the unit cost of the product.
• C) cash budget.
• D) budgeted income statement.

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Definitions:

Accounts Receivable Turnover

A financial metric that measures the efficiency with which a company collects on its receivables or the credit it extends to customers by calculating the number of times receivables are turned over during a given period.

Acceleration

The rate at which an object's velocity changes over time, often measured in meters per second squared in the physical sciences or in speeding up processes within various fields.

Working Capital

The difference between a company's current assets and current liabilities, indicating the short-term liquidity and operational efficiency of the business.

Working Capital

The difference between a company's current assets and current liabilities, indicating the liquidity available to fund operations.