Company a Is a Manufacturer and Company B Is a Merchandiser

Multiple Choice

Company A is a manufacturer and Company B is a merchandiser. What is the difference in the budgets the two entities will prepare?

A) Company A will prepare a production budget, and Company B will prepare a merchandise purchases budget.
B) Company A will prepare a sales forecast, and Company B will prepare a sales budget.
C) Company B will prepare a production budget, and Company A will prepare a merchandise purchases budget.
D) Both companies will prepare the same types of budgets.