In order to prepare the sales budget,one needs
A)the number of units expected to be produced and the prices expected to be charged.
B)the number of units expected to be sold and the cost of producing each unit.
C)the number of units expected to be sold and the prices expected to be charged.
D)the number of

Question

Quizplus · Accepted Answer

The sales budget estimates the amount of revenue that will be generated from selling goods or services. To prepare the sales budget, one needs to have information on the number of units expected to be sold and the prices expected to be charged. This would help in calculating the total revenue that would be generated from sales. Information on the cost of producing each unit (option B) is required for preparing the production budget, not the sales budget. Option A combines both production and sales information, which is not specific enough for preparing the sales budget. Option D is incomplete and does not provide sufficient information for preparing the sales budget.

In Order to Prepare the Sales Budget,one Needs