A comprehensive or overall formal plan for a business that includes specific plans for expected sales,the units of product to be produced,the merchandise or materials to be purchased,the expense to be incurred,the long-term assets to be purchased,and the amounts of cash to be borrowed or loans to be repaid,as well as a budgeted income statement and balance sheet,is called a:
A) Master budget.
B) Cash budget.
C) Capital expenditures budget.
D) Rolling budget.
E) Production budget.

Question

Quizplus · Accepted Answer

A master budget contains all of the specific plans and budgets for a business, including sales, production, purchasing, expenses, assets, and cash flow. It also includes a budgeted income statement and balance sheet, providing a comprehensive and overall formal plan for the business.

A Comprehensive or Overall Formal Plan for a Business That