Question

A comprehensive or overall formal plan for a business that includes specific plans for expected sales, the units of product to be produced, the merchandise or materials to be purchased, the expenses to be incurred, the long-term assets to be purchased, and the amounts of cash to be borrowed or loans to be repaid, as well as a budgeted income statement and balance sheet, is called a________________.

Answer 1

Answer: Master Budget

Explanation:

 Master budget is basically refers to the business budget strategy in which the organization preparing all the financial plans and include all the financial related statement.

The master budget is one of the most expensive business strategy which include various types of promotional levels, expected sales in the future and the capital investment.

The main purpose of the master budget is that it provide specific details about the costs and the production target. Therefore, Master budget is the correct answer.