Which of the following budgets would be prepared by manufacturing companies but not merchandising companies?
A) Sales budget
B) Cash receipts budget
C) Production budget
D) Selling and administrative expenses budget

Question

Quizplus · Accepted Answer

The production budget is specific to manufacturing companies as it outlines the quantity of products to be produced during a particular period. Merchandising companies do not produce their own products and therefore do not require a production budget. The remaining options - A, B, and D - are applicable to both manufacturing and merchandising companies.

Which of the Following Budgets Would Be Prepared by Manufacturing