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hi there I wanted to know what a master budget was. apparently it consists of different...

hi there I wanted to know what a master budget was. apparently it consists of different separate budgets what would be the first four budgets that need to be developed?

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Answer #1

A Master Budget is a aggregation of all functional budgets in an organisation and then summarized overall organization level with Budgeted Income Statement, Budgeted Balance Sheet and Budgeted Cash flow

First 4 budgets that needs to be developed :

  1. Sales Budget
  2. Production Budget
  3. Direct Material Purchase Budget
  4. Direct Labor Budget
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