ACCT 202 Lecture Notes - Lecture 2: Delaware General Corporation Law, Budget
Document Summary
To understand the importance of budgeting (or profit planning) and the role it plays in various types. To become familiar with the process of preparing various parts of the operating budget of organizations. Questions to consider in preparation for the session. What actions can you thing of that can be taken or improved once this is performed: sales budget, production budget, direct-materials budget, direct labor budget. Delaware corporation produces superwidgets , which are made of with one raw material, kryptonite, using a unique proprietary manufacturing process. The company is preparing to build its master budget for the coming year (2017). The budget will detail each quarter"s activity and the activity for the year in total. The master budget will be based on the following information: fourth-quarter sales for 2016 are 55,000 units, unit sales by quarter (for 2017) are projected as follows: 90,000: the selling price is per unit.
