ICAEW BIP · Chapter 7 · Question 8 of 10
Which of the following together make up the master budget?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) The budgeted statement of profit or loss, budgeted statement of financial position and cash budget
Explanation
The master budget is the summary of all the functional budgets. It usually consists of the budgeted statement of profit or loss, the budgeted statement of financial position and the cash budget. Functional budgets such as the sales and production budgets feed into it.
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