Which budget is normally prepared first?

Name: Which budget is normally prepared first?
Brand: Quizplus
Rating: 4.8 (46 reviews)

Question

Quizplus · Accepted Answer

The sales budget is typically prepared first because it serves as the basis for many other budgets such as production, inventory, and cash budgets. It is important to estimate sales before determining how much inventory to produce or purchase, how much cash will be needed to cover expenses, and ultimately what the budgeted income statement will look like.

Which Budget Is Normally Prepared First