The master budget of a small manufacturer would normally include all necessary component budgets EXCEPT the capital expenditures budget.

Question

Quizplus · Accepted Answer

The master budget of a small manufacturer should include all necessary component budgets, including the capital expenditures budget. The capital expenditures budget details the anticipated expenses for long-term assets, such as equipment and facilities, that will be necessary for the company's continued operations and growth. Therefore, it is an essential component of the master budget.

The Master Budget of a Small Manufacturer Would Normally Include