acc wk 7 check - Axia College Material Appendix C Budgets...

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Axia College Material Appendix C Budgets Matrix Directions : Using the matrix, define each of the budgets listed and briefly describe its uses. Budget Definition Describe its uses Sales budget Is an estimate of expected sales for the budget period Sales budget is a look ahead at a financial plan of sales revenue for a certain time period. (Expected unit sales x unit selling price = total sales) Production budget Is a projection of the units that must be produced to meet anticipated sales This will determine the budgeted costs for each manufacturing cost. (Budgeted sales units + desired ending finished goods units - beginning finished goods units = required production units) Direct materials budget Is an estimate of the quantity and cost of direct materials to be purchased The budget cost of direct materials to be purchased is than computed by multiplying the required units of direct materials by the anticipated cost per unit.
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This note was uploaded on 11/06/2011 for the course ACCT 231 taught by Professor Shan during the Spring '10 term at Allen University.

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acc wk 7 check - Axia College Material Appendix C Budgets...

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