LO 7.2The direct materials budget is prepared using which budget’s information?

cash payments budget

cash receipts budget

production budget

raw materials budget

correct option is production budget

Explanation:

solution

direct materials budget:

direct materials budget is to find out materials that are purchased to full fill the requirement of production budget by the specified time period

and It is presented either any format monthly or quarterly in one annual budget

so here correct option is C. production budget