Question

Assume the following budgeted information for a merchandising company. What financial metric is typically considered in budgeting?

A) Gross Profit
B) Revenue
C) Operating Expenses
D) Net Income

Answer 1

Gross Profit is the financial metric typically considered in budgeting for a merchandising company.

Step-by-step explanation:

In budgeting for a merchandising company, the financial metric typically considered is Gross Profit. Gross profit is the difference between the revenue generated from sales and the cost of goods sold (COGS). It represents the amount of money left over after subtracting the direct expenses related to producing and selling the products.