When a Company Is Preparing a Budgeted Statement of Cash

question 141

Multiple Choice

When a company is preparing a budgeted statement of cash flows and they wish to calculate the payments to suppliers for purchases of inventory, they should refer to which of the following?

• A) Budgeted cash payments for purchases
• B) Sales budget
• C) Budgeted cash collections
• D) Budgeted balance sheet

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Definitions:

Filing Process

The systematic procedure of organizing and categorizing documents, records, or data for efficient retrieval and safekeeping.

Ready

Being in a suitable state for an activity, action, or situation; fully prepared.

Item

An individual article or unit, especially one that is part of a list, collection, or set.

Numeric Filing System

An organizational method that arranges files or records in order of assigned numbers.