Which of the Following Would Depict the Logical Order for Preparing

question 29

Multiple Choice

Which of the following would depict the logical order for preparing (1) a production budget, (2) a cash budget, (3) a sales budget, and (4) a direct-labour budget?

• A)production budget, sales budget, direct-labour budget, and cash budget.
• B)cash budget, sales budget, production budget, direct-labour budget.
• C)cash budget, production budget, sales budget, and direct-labour budget.
• D)sales budget, production budget, direct-labour budget, and cash budget.
• E)sales budget, production budget, cash budget, and direct-labour budget.

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Definitions:

Debit Memo

A document issued by a buyer to a seller indicating an adjustment or decrease in the amount that the buyer owes to the seller, usually due to returns or refunds.

Bank Service Charges

Fees charged by a bank for the maintenance of an account and for providing various banking services.

NSF Checks

Non-sufficient funds checks are ones that cannot be processed because the drawer's account does not have enough money to cover the amount.

Journal Entry

A record in accounting that represents a transaction and its effects on accounts, following the double-entry system.