Asked by Hazel Calderon on Jul 14, 2024
Verified
The operating budgets are used to prepare the budgeted income statement.
Operating Budgets
Detailed projections that outline expected income and expenses related to the day-to-day operations of an organization over a specific period.
Budgeted Income Statement
A financial statement that projects income and expenses for a future period, typically used for planning and budgeting purposes.
- Acquire knowledge about the preparation sequence of different component budgets.
Verified Answer
CN
carlesia nunnallyJul 15, 2024
Final Answer :
True
Explanation :
Operating budgets detail the income-generating activities of a business, such as sales and production, and are used to prepare the budgeted income statement, which forecasts the company's financial performance.
Learning Objectives
- Acquire knowledge about the preparation sequence of different component budgets.
Related questions
A Capital Expenditures Budget Is Prepared Before the Operating Budgets
After the Sales Budget Is Prepared, the Production Budget Is ...
The Production Budget Is Typically Prepared Prior to the Sales ...
The Budgeted Income Statement Is Typically Prepared Before the Budgeted ...
Which of the Following Statements Is NOT Correct Concerning the ...