Which One of the Following Represents the Correct Order in Which

question 50

Multiple Choice

Which one of the following represents the correct order in which the budget documents listed for a manufacturing company would be prepared?

• A)Production budget, marketing budget, direct materials budget, indirect labour budget
• B)Sales budget, cash budget, direct materials budget, direct labour budget
• C)Selling and administrative expense budget, budgeted income statement, cash budget, budgeted balance sheet
• D)Sales budget, cash budget, marketing budget, direct materials budget

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Definitions:

Firm's Managers

Individuals responsible for making significant corporate decisions and managing the overall operations and resources of a business.

Capital Budgeting

The process by which a business determines and evaluates potential expenses or investments that are significant in amount.

Project Cash Flows

Refers to the net amount of cash being transferred into and out of a project, considering all revenues, expenses, and capital costs over its life.

Risk

In finance, risk is the potential for financial loss or the variability in the returns of an investment.