Which of the following budgets would not be prepared for a merchandising firm?
A) Direct labor budget
B) Cash budget
C) Capital expenditures budget
D) Sales budget

Question

Quizplus · Accepted Answer

A merchandising firm does not have direct labor costs, as they do not manufacture products and therefore do not have employees directly involved in the production process. The other budgets listed (cash, capital expenditures, and sales) would still be relevant for a merchandising firm.

Which of the Following Budgets Would Not Be Prepared for a Merchandising