The budget sales, plus target ending finished goods inventory, minus beginning finished goods inventory is equal to ___________?
Correct answer: A. budget production
- A. budget production
- B. planned production
- C. setup production
- D. stand by production
Explanation
Required production equals budgeted sales plus desired ending finished-goods inventory minus beginning finished-goods inventory. This ensures sales requirements and the planned closing stock are covered.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? support@testustad.com
About Cost Accounting
Cost accounting measures and analyses the cost of producing goods or providing services for planning, control and pricing decisions. It covers direct and indirect costs, fixed and variable costs, job and process costing, break-even analysis, marginal costing, overhead allocation, and the difference between product cost and period cost.
Practise Cost Accounting
941 free Cost Accounting MCQs from Accounting, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Exams that ask Accounting questions like this
Accounting is on 2 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Cost Accounting questions
The budgeted income statement and the supporting budget schedules are categorized under _____________?
The document, which contains the information about the used material sequence, detail and quantity of raw material is classified as __________?
The last step in developing operating budget is ____________?
The higher and accurate budgeted profit forecast of managers lead to __________?
The starting point in the operating budget is __________?
The quantitative expression, of action plan by the management of the firm for a specified period of time is classified as ___________?