Asked by Natalia Hernandez on May 16, 2024
Verified
The selling and administrative budget is typically prepared before the cash budget.
Selling and Administrative Budget
This is a detailed plan that outlines the expected expenses related to selling the products and managing the business operations.
Cash Budget
An estimation of cash inflows and outflows for a business over a specific period, used for managing the company's cash flow.
- Recognize the contribution of budgeting in managing the planning, controlling, and integration of efforts in a corporate setting.
Verified Answer
JF
Jennah FaiolaMay 21, 2024
Final Answer :
True
Explanation :
The selling and administrative budget is prepared before the cash budget because it provides necessary information, such as expected expenses, that is used to prepare the cash budget.
Learning Objectives
- Recognize the contribution of budgeting in managing the planning, controlling, and integration of efforts in a corporate setting.
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