Adjustments to the sales budget need to be made for which of the following items when going from the sales budget to the production budget?

Question

Quizplus · Accepted Answer

When going from the sales budget to the production budget, adjustments may need to be made for finished goods inventories. The production budget needs to take into account the beginning inventory of finished goods, as well as the desired ending inventory level. Adjustments may need to be made to the production budget in order to align production quantities with desired inventory levels. Cash receipts, selling expenses, and manufacturing overhead costs are not directly related to adjustments made when going from the sales budget to the production budget.

Adjustments to the Sales Budget Need to Be Made for Which