In developing a master budget for a manufacturing company,which one of the following items should be done first?

Question

Quizplus · Accepted Answer

The development of a sales budget should be done first because it determines the anticipated sales for the upcoming period, which affects all other components of the master budget, such as production, materials, labor, and overhead expenses. Once the sales budget is determined, the other budgets can be created accordingly.

In Developing a Master Budget for a Manufacturing Company,which One