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(HOTS) - Business Arithmetic, Entrepreneurship, Class 12 | Additional Study Material for Commerce PDF Download

Q. In the following cases identify the type of budgets :
(i) It always estimates future sales, often broken down into both units and currency.
(ii) It estimales the various costs involved with manufacturing those units, including labour and material.
(iii) It is used to determine an organization’s long term investments.
(iv) It estimates the funds for promotion and advertising.
(v) An estimate of the number of units that must be manufactured to meet the sales goals.
(vi) A budget which details the amount of cash collected and paid out.

(6 marks)
Ans.

(i) Sales Budget.
(ii) Production Budget.
(iii) Capital Budget.
(iv) Marketing Budget.
(v) Production Budget.
(vi) Cash Flow Budget.

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