Question

The ending finished goods inventory budget supplies information is needed for the:

a. sales budget.
b. cash budget.
c. budgeted income statement.
d. cost of goods sold budget.
e. all of these.

Answer 1

d. cost of goods sold budget.

Step-by-step explanation:

The budget will start with the beginning finished good. Then, add up the cost added during the period if manufacturing or purchase if merchandising. The sum will be the cost available for sale.

The difference between the ending finished good and the cost available for sale will be the cost of good sold for the period.