The cash budget is prepared after the budgeted balance sheet is prepared.

Question

Quizplus · Accepted Answer

The cash budget is usually prepared before the budgeted balance sheet, as it outlines the cash inflows and outflows for a specific period of time and helps determine the ending cash balance. The budgeted balance sheet, on the other hand, is prepared after all other budgets have been completed and provides a snapshot of the company's financial position at the end of the budgeting period.

The Cash Budget Is Prepared After the Budgeted Balance Sheet