The budget that sets out the proposed acquisition of machinery and equipment planned for the period is the:
A) purchases budget.
B) budgeted balance sheet.
C) budgeted income statement.
D) capital expenditure budget.

Question

Quizplus · Accepted Answer

The capital expenditure budget is a budget that outlines the proposed acquisitions of machinery and equipment for a specific period. This budget is used to plan and allocate funds for long-term investments that will benefit the company in the future. The purchases budget, budgeted balance sheet, and budgeted income statement are all different types of budgets that do not specifically address the acquisition of machinery and equipment.

The Budget That Sets Out the Proposed Acquisition of Machinery