Question

I am having problems trying to figure out what information to pull to prepare budgets

Answer 1

The Question does not state whether it is for a manufacturing concern or trading concern.

I am giving below the information to pull for a manufacturing concern in the following chronological order:

a) The Marketing department should provide the despatch schedule of each product given by customers. Based on this revenue can be calculated.

b) This despatch schedule will be forwarded to the Production department. The Production department based on the existing stock etc. will give the Production Schedule

c) Based on the Production schedule, BOQ quantity is taken and given to the procurement department to calculated the material budget

d) Labor requirement is given by production and each department heads provides increment proposal etc to HR for calculation of payroll budget

e) Once the above is done, other overheads are calculated based on the average of previous months figures. The periodic costs like rent are budgeted at actuals.

f) Once the above process are complete, this can be consolidated into a revenue budget.