Purchase Solution

What does the comprehensible master budget plan encompass?

Not what you're looking for?

Ask Custom Question

What does the comprehensible master budget plan encompass? Please be detailed.

Purchase this Solution

Solution Summary

What the comprehensible master budget plan encompasses is discussed.

Solution Preview

The comprehensible master budget plan encompassing all the individual budgets related to sales, cost of goods sold, operating expenses, capital expenditures, and cash. The master budget encompasses all functions and management levels, although the approach to formulating the budget may differ from company to company. Two opposite and extreme views of how to develop a master budget is the top management approach (input comes only from top officers), and the grass roots approach (all levels participate in forecasting). Irrespective of who is involved in providing input, the following sequence is generally followed in constructing a master budget.

1. Sales budget
2. Production budget
3. Direct material purchase budget
4. Direct labor budget
5. Factory overhead budget
6. Ending inventories budget
7. COGS budget
8. Selling expense budget
9. Administrative expense ...

Purchase this Solution

Free BrainMass Quizzes
Writing Business Plans

This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.

Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.

Marketing Research and Forecasting

The following quiz will assess your ability to identify steps in the marketing research process. Understanding this information will provide fundamental knowledge related to marketing research.

Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

Situational Leadership

This quiz will help you better understand Situational Leadership and its theories.