Explain production budget
Give a short introduction of the term ‘production budget’?
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Production budget is a prediction of production for the budget period. It is made from two angles: In terms of money and in terms of quantity. Following budgets are made under the production budget are illustrated below: -Material Budget to approximation of the material cost -Direct Labor Cost Budget to estimation of the labor cost that is required to product the quantity as particular in the production budget. -Overhead Budget to estimation of production overheads.
Production budget is made after taking different budgets into deliberation. For an appropriate estimation of different costs associated with the production procedure makes it vital to make production budget for the period in that production will take place.
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Suppose a firm's common stock paid a dividend of $1.75 yesterday. You expect the dividend to grow at the rate of 8% per year for the next 3 years, if you buy the stock, you plan to hold it for 3 years and then sell it. Discover Q & A Leading Solution Library Avail More Than 1453946 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1957012 Asked 3,689 Active Tutors 1453946 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
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