Multiple Choice

What is the primary reason the production budget usually shows differences between production quantities and sales quantities? Multiple Choice The need for a sufficient finished goods ending inventory to begin the next period Price increases Managers tend to overestimate sales and underestimate production Poor underlying estimates and assumptions For some items on the cash budget amounts for each quarter do not add up to the amount for the year. Which one of the following is a correctly stated example of this? Multiple Choice Beginning cash for the year is the same as beginning cash for the first quarter, Call received in one quarter for sales made in a prior quarter will cause inaccurate totals When borrowing is necessary. cooh needs for the year are greater than the sum of cash needs for each quote erest is included in the quarted amount but not in the total for the year The final output(s) of the master budgeting process is/are: Multiple Choice a production budget a flexible budget and a fixed costs budget. a cash budget, a budgeted income statement, and a budgeted balance sheet. estimates of activity levels for each revenue and cost item