The production budgets are used to prepare which of the following budgets?
a. operating expenses
b. direct materials purchases, direct labor cost, and factory overhead cost
c. sales in dollars
d. sales in units

b. direct materials purchases, direct labor cost, and factory overhead cost

Explanation:

The production budgets is the budget used for determining the number of units of a product to be manufactured. The production budget captures the estimates of the total production cost and includes elements such as direct materials purchases, direct labor cost, and factory overhead cost.

Operating expenses are expenses incurred during the ordinary course of business outside the manufacturing process.

Sales in unit and dollars are determined by the company's projection and ambition.

The sales estimates determined the production budget considering also the safety stock or closing inventory.

Hence, the right option is b. direct materials purchases, direct labor cost, and factory overhead cost.

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know