Which element of a master budget would normally be prepared first?
A)A production budget
B)A cash budget
C)A budget of operating expenses
D)A sales forecast

Question

Quizplus · Accepted Answer

A sales forecast is necessary in order to make estimates for the other budgets in the master budget, such as the production budget and the cash budget. Therefore, it would normally be prepared first.

Which Element of a Master Budget Would Normally Be Prepared