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Which of the Following Represents the Correct Relationship Between Budgets

Question 7

Multiple Choice

Which of the following represents the correct relationship between budgets and inventories?


A) The direct materials budget includes the budgeted dollar value of the direct materials inventory at the beginning and end of the budget period.
B) The direct materials budget includes the budgeted number of units in the direct materials inventory at the beginning and end of the budget period.
C) The production budget includes the budgeted number of units in the work in process inventory at the beginning and end of the budget period.
D) The direct labor budget includes the budgeted number of units in the work in process inventory at the beginning and end of the budget period.

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