The ________ budget starts with the number of units to be produced.

Question

Quizplus · Accepted Answer

The production budget is designed to calculate the number of units to be produced to meet the projected sales demand. Therefore, it starts with the determination of the number of units to be produced. The operating expense budget considers the operating expenses of the business, while the direct labor budget outlines the cost of wages for the production of goods. Although both are related to the production process, they do not necessarily start with determining the number of units to be produced.

The ________ Budget Starts with the Number of Units to Be