In order to prepare a budgeted income statement, several other budgets need to be prepared first. Which of the following is NOT one of the budgets needed to prepare the budgeted income statement?

Question

Quizplus · Accepted Answer

Capital expenditures budget is not directly related to the operating activities of the business and hence not required to prepare the budgeted income statement. However, sales, operating expenses, and inventory/purchases/cost of goods sold budgets are essential to prepare the budgeted income statement.

In Order to Prepare a Budgeted Income Statement, Several Other