A master budget is a set of budgeted financial statements and supporting schedules. Budgets contain budgeted information, not actual amounts. The master budget contains three types of budgets, operating, capital expenditures, and financial budgets.
-Explain each of the operating budgets, sales, production, direct materials, direct labor, manufacturing overhead, cost of goods sold, and selling and administrative expenses.
-Explain the capital expenditures and the financial budgets.
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