Projected operating income for August 2021 must be Hen Yu presented these data for August 2021 operations of Ga Ling Co.: a. Sales are budgeted at P300,000. All sales are credit sales and a provision for doubtful accounts is made monthly at 3% of sales. b. Merchandise inventory was P70,000 at July 2021 and an increase of P10,000 is planned for the month. C. All merchandise is marked up to sell at invoice cost plus 50%. d. Estimated cash disbursements for operating expenses for August 2021 is P40,000. e. Depreciation for the month is projected at P5,000. O P46,000 P55,000 P56,000 P86,000
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
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