Econ10b Chapter 8

Which of the following budgets shows the company's planned profit and serves as a benchmark against which subsequent company performance can be measured?

Budgeted income statement

A company's planned net profit that serves as a benchmark against which subsequent company performance can be measured is shown on the budgeted _______ _________.

income statement

All costs of production other than direct materials and direct labor are shown on the ______ budget.

manufacturing overhead

The amount of goods for resale to be acquired from suppliers during the period shown on the _____ ______ budget.

merchandise budget

A budget that is prepared with the full cooperation of managers at all levels is a self-imposed or _______ budget.

participative

Developing goals and planning various budgets to achieve those goals is part of the __________ process.

planning

In a manufacturing company, the budgets for manufacturing costs, including the direct materials budget, the direct labor budget, and the manufacturing overhead budget are all based on the ___________ budget.

production

Which of the following is not found in the financing section of the cash budget?

cash deficiency

Gathering feedback to ensure that the plan is being followed is referred to as _______.

control or controlling

Because it is needed for the schedule of expected cash collections, the annual master budget file includes the ____ _____ from last year.

balance sheet

In a manufacturing company, the ______ _____ budget details the raw materials that must be purchased to fufill the production budget and to provide for adequate inventories.

direct materials

The cash budget includes four major sections: receipts, disbursements, the cash excess or deficiency, and ___________.

financing

Both the production and selling and administrative expense budgets are prepared using information directly from the ______ budget.

sales