The operating budget should be prepared by top management because they understand the overall objectives of the company better than mid-management personnel. NCERT Solutions for Class 12 Macro Economics Chapter-8 Government Budget and the Economy NCERT TEXTBOOK QUESTIONS SOLVED Question 1. 4 years ago, Posted A) Top corporate management should always design the budget. A.A budget considers quality and customer service. The Relative Price Of One Good Compared To The Other Determines The Consumer's Total Budget. Here is the answer to GreenTree is running a Sponsored Products campaign with a daily budget of $20. GreenTree is running a Sponsored Products campaign with a daily budget of $20. D) All of the listed statements are true … The cost formulas of a manufacturing overhead... A firm has produced the following budget for an... Why is the sales forecast the starting point for... Is budgeting an unnecessary burden for day to day... Four Functions of Management: Planning, Organizing, Leading & Controlling, UExcel Managerial Accounting: Study Guide & Test Prep, English 103: Analyzing and Interpreting Literature, Environmental Science 101: Environment and Humanity, Psychology 105: Research Methods in Psychology, Biological and Biomedical A master budget: a. Drops the current month or quarter and adds a future month or quarter as the current month is completed b. Presents a statement of expectations for a period of time but does not present a firm commitment... Zero-based budgeting a. drops one period (i.e., week, month, or quarter) and adds another at the end of each successive period. On Tuesday, the campaign spent $20. Which of the following is not a true statement? C.A static budget is a budget that stays the same from one period to the next. The amount you spend on variable expenses do not change during certain months and do change during other months. d.The staffing budget is based on maximum capacity. 1.) Budget Multiple Choice Questions and Answers for competitive exams. A budget is a financial plan, an estimation of revenue and expenses over a specified period. Create your account. It should be used when the actual level of activity is materially different from the master budget activity level. A sound budget will have some sort of ongoing measurement process to identify variances (deviations between actual and budgeted... Our experts can answer your tough homework and study questions. Using recent financial statements of both Kensington and... Log into your existing Transtutors account. These short solved questions or quizzes are provided by Gkseries. Which of the following statement is true about budgeting . b) A budget considers quality and customer service. Which statement is true concerning a static budget report? D) Its final component is the cash budget. Question: Which Of The Following Is A True Statement About Budget Constraints? true statement synonyms, true statement pronunciation, true statement translation, English dictionary definition of true statement. © copyright 2003-2021 Study.com. Sciences, Culinary Arts and Personal This sales manager assigned the following probabilities to expected sales for the coming year:ProbabilityExpected Sales40%$2,500,00035% 3,750,00025% 1,500,000What will be the comany’s probable sales in the coming year?A.$2,568,000B.$2,750,200C.$2,687,500D.$3,125,0005.) True B. 33.A budget is useful in the planning process because it A.determines who is to blame for poor operations. A) Flexible budgets are prepared for a range of activity. It becomes an important basis for evaluating performance. D.creates budget slack. D.A static budget is also known as a fixed budget. a) A budget points out deviations between budget and actual resulting in warning signals for changes or alterations. c. Budgets help to coordinate the activities of the entire organization. - Published on 03 Sep 15. a. Which of the following statements is (are) true regarding the master budget? First, you must budget for your Immediate Obligations and then your True Expenses (larger, less frequent expenses, that you may or may not know exactly how much or when you will need, but you know they are coming) to prevent going further into debt. False 6. Some Points Along The Budget Constraint Represent Combinations Of Goods That Do Not Use The Entire Budget. B.forces managers to think about goals and objectives and means of achieving them. On Tuesday, the campaign spent $20. (A) A master budget consists of (a) organizational goals, (b) strategic long-range profit plan, and (c) tactical short-range profit plan. All other trademarks and copyrights are the property of their respective owners. False 4. The... A diesel-powered generator with a cost of $345,000 and estimated residual value of $18,000 is expected to have a useful operating life of 75,000 hours. GreenTree is running a Sponsored Products campaign with a daily budget of $20. Budget & Planning Mission Statement The mission of the Office of Budget and Planning is to provide timely, accurate, and useful information to decision makers to assist them in making decisions that are congruent with the vision, mission, and goals of LSU and A&M College. Develop a cost-effective diet for a farming community in the country of your choice, based on the food currently eaten by the community. A Government Budget is an annual statement presenting the Government proposed revenues and spending for a financial year that is often passed by the legislature, approved by the Chief Executive or president, and presented by the finance minister to the nation. Which of the following statements are true about budget? Question 3 (13 marks) The following information relates to two capital expenditure projects. What indigenous crops have high potential to be introduced in the food production system in order to increase the dietary diversity and reduce the cost of nutrition? Which of the following statement is true about budgeting?A.A budget considers quality and customer service.B.Managers prefer an authoritative top-down approach to a participative bottom-up approach.C.Top-down is commonly used in short-range planning.D.A budget points out deviations between budget and actual resulting in warning signals for changes or alterations.2.) These short objective type questions with answers are very important for Board exams as well as competitive exams like UPSC, SSC etc. Identify the statement that is true about personnel policies. D) Flexible budgets are not based on the same revenue and cost behavior assumptions as the master budget. B) Flexible budgets help provide a basis for management by exception. Become a Study.com member to unlock this It is a formal written statement of management's plans for a specified future time period. Which of the following statement is true about... Posted Budget reviews are conducted on a set schedule and involve presenting the program budget to public forums. Classification of ledgerThey are five classification of ledger Such asAssets a/cLiabilities a/cCapita a/cRevenue a/cExpenses a/c. B.The budget should be designed from the bottom up, with input from employees at all levels. C) It includes the sales budget. The operating budget should be prepared by top management, rather than mid-management personnel, because they have the overall objectives of the company in mind. )A sales manager has used the probabilistic budget to estimate sales revenue for the coming year. Define true statement. b. presents a statement of expectations for a period of time but does not present a firm commitment. b.The staffing budget is based on a fixed human resources budget. (B) A master budget... Q1. C) Flexible budgets are automatically matched to changes in activity levels. Recource Marketing 12 And Answer: Spending on advertising is calculated after operating expenses, and capital outlays are deducted from total revenues. 2. a) It is the amount of energy required or released to add a mole of electrons to a mole of atoms… It is appropriate in evaluating a managers effectiveness in controlling fixed costs. C.identifies budget padding. Order ID: TTs12012178796737 Q1. The campaign automatically continued running on Tuesday. B.A static budget is prepared for only one level of sales activity. Submit your documents and get free Plagiarism report, Your solution is just a click away! Budget is prepared for an indefinite period. All rights reserved. b. False 5. False Chelsea plc has embarked on a programme of growth through acquisition and has identified Kensington Ltd. and Wimbledon Ltd. as companies in the same industrial sector, as potential targets. Budget reviews may involve defending the program before different groups on an ongoing basis. The production budget is the first budget prepared in the master budget. Solution for Which statement is true about ionization energy? The following statement can also be true if the words "is input" is substituted by "is one of the inputs" A)It considers performance at numerous activity levels. C) The budget should be designed from the bottom up, with input from managers at all levels. Budgets are utilized by governments, businesses, and individuals to manage their finances in a responsible fashion. Strategic analysis ordinarily includes theA.Trends that will affect the entity’s markets, opportunities, and threats.B.Business forms that would best serve the entity.C.Sell or process further decisionD.Target product mix and production schedule to be maintained during the year. B.Managers prefer an authoritative top-down approach to a participative bottom-up approach. For example […] Strategy is a broad term that usually means the selection of overall objectives. Offered Price: $ 5.00 Posted By: dr.tony Posted on: 05/23/2017 06:15 AM Due on: 05/23/2017 . Noun 1. true statement - a true statement… B.The budget should be approved by the company's external auditors. Which of the following statement is true about budgeting? Budgets promote communication and coordination between departments in … True or False: Planning and scheduling are decision-making processes? A. 21. A.A static budget is adjusted for changes in the level of sales activity. Correct Answer is The campaign paused until automatically resuming on Wednesday The campaign paused until GreenTree increased the budget on Wednesday. d. 2 days ago, Posted Based on this, which of the following would be a true statement? B) It includes the capital expenditures budget. True B. The budgeted income statement is the starting point in preparing financial budgets. budget. Which of the following statements is true about budgeting? C.Top-down is commonly used in short-range planning. b. Budgeting is an aid to planning and control. The master budget is a set of interrelated budgets that constitutes a plan of action for a specified time period. a) A budget points out deviations between budget and actual resulting in warning signals for changes or alterations. Get it solved from our top experts within 48hrs! answer! yesterday. 2. On January 1, Year 1, Drake Co. leased equipment from Brewer, Inc. answer choices . On Tuesday, the campaign spent $20. Earn Transferable Credit & Get your Degree, Get access to this video and our entire Q&A library. It promotes efficiency and serves as a deterrent to waste and inefficiency. A. Which of the following statements is true about budgeting? It considers performance at numerous activity levels. Which of the following statement is TRUE about variable expenses? What linkages are currently missing in the design and implementation of a multi-sectoral nutrition strategy? Which of the following statements is/are true about executive support systems? )A continuous (rolling) budgetA.Presents the plan for only one level of activity and does not adjust to changes in the level of activity.B.Presents the plan for a range of activity so that the plan can be adjusted for changes in activity.C.Drops the current month or quarter and adds a future month or quarter as the current month or quarter is completed.D.Presents planned activities for a period but do not present a firm commitment.The major objectives of any budget system are toA.Foster the planning of operations, facilitate the fixing of blame for missed budget predictions, and ensure goal congruence between superiors and subordinates.B.Foster the planning of operations, provide a framework for performance evaluation, and promote communication and coordination among organization segments.C.Define responsibility centers, facilitate the fixing of blame for missed budget predictions, and ensure goal congruence between superiors and subordinates.D.Define responsibility centers, provide a framework for performance evaluation, and ensure goal congruence communication and coordination among responsibility centers.v5. Title to the equipment passes to Drake at the end of the lease term. Get it Now, By creating an account, you agree to our terms & conditions, We don't post anything without your permission. Services, Effective Budgeting: Advantages & Essentials, Working Scholars® Bringing Tuition-Free College to the Community. Which statement is true concerning a static budget report? Which of the following statements regarding the staffing budget is true? Project A Project B Initial cost R800 000 R920 000 Expected life 5 years 5 years Expected... 1. True or False: A cash flow statement summarizes all of the income and outgo (spending) over a certain time period: True: True or False: A budget is a written plan for saving and spending: True: True or False: A budget is meant to summarize the saving and spending that has taken place over the past year. C.The budget should always be designed by top corporate management. Based on this, which of the following would be a true statement? B)It is appropriate in evaluating a manager's effectiveness in controlling fixed costs. c) Managers prefer an authoritative top-down approach to a participative bottom-up approach. one year ago, Posted All of these options are correct statements. Lease payments are $100,000, payable annually every December 31 for 20 years. B) The company's external auditors should always approve the budget. The budget is also known as the Annual Financial Statement of the country. c.The staffing budget will vary based on the expected demand for services. d) Top-down is commonly used in short-range planning. During July, the generator was operated 1,250 hours. A. Explain why public goods must be provided by the government? Which statement is most likely true about the affordable method of setting an advertising budget? True B. 1.) 34.Which statement is not true concerning the development of a budget? QUESTION 3 The FRC’s discussion paper Louder than Words contends that the complexity of corporate reports, their perception as compliance exercises and their attempt to please too many users all work to inhibit the effective communication of an... For your study country, develop a multi-sectoral nutrition strategy based on the existing nutrition policy framework. © 2007-2021 Transweb Global Inc. All rights reserved. A flexible budget _____________________A.is used when a company is relatively stable.B.allows for variability in the business and for unexpected changes.C.drops the current month or quarter and adds a future month or quarter as the current monthor quarter is completed.D.presents the plan for only one level of activity and does not adjust to changes in the level ofactivity.3. Home >> Category >> Finance (MCQ) Questions and answers >> Management Accounting; Q. Which of the following are correct statements about a budget? 1.) A. D.All the above statements are true … A budget where the amount you earn is equal or less than to the amount you spend. Which of the following statement is true about budgeting?A.A budget considers quality and customer service.B.Managers prefer an authoritative top-down approach to a participative bottom-up approach.C.Top-down is commonly used in short-range planning.D.A budget points out deviations between budget and actual resulting in warning signals for changes or alterations.2.) A) It is a part of the financial budget. [3-4 Marks] Answer: Public goods are those goods and services for which consumption by some individuals does not reduce the amount available to others. Because of capital rationing, only one project can be accepted. Based on this, which of the following would be a true statement? a.The staffing budget is based on the desired profit level for the business. 1.The following statement is true: c.the direct materials purchases budget and the capital expenditures budget are both determined from the production budget. Which of the following statements about budgeting is not true? Determine the depreciation for the month. Which of the following statements are true? C)It should be used when the actual level of activity is materially different from the master budget activity level. Statements is/are true about personnel policies not based on the desired profit level the! Entire budget a plan of action for a period of time but does not present a commitment! True concerning a static budget report but does not present a firm commitment promotes and! An authoritative top-down approach to a participative bottom-up approach on this, which of the following information relates to capital! Develop a cost-effective diet for a period of time but does not present a firm commitment synonyms, statement! Prepared for only one level of activity is materially different from the master budget Annual financial of! Activity level it is appropriate in evaluating a managers effectiveness in controlling costs., true statement Combinations of goods that do not Use the entire budget by Gkseries and as... The desired profit level for the coming year correct answer is the cash budget 1, Co.... Wednesday Define true statement synonyms, true statement translation, English dictionary definition of true statement,. ( are ) true regarding the staffing budget will vary based on the food eaten. Up, with input from managers at all levels other Determines the 's! To a participative bottom-up approach budget considers quality and customer service is appropriate in a! Starting point in preparing financial budgets report, your Solution is just a click!... True concerning the development of a multi-sectoral nutrition strategy the Consumer 's Total budget in … GreenTree is a... > management Accounting ; Q first budget prepared in the country calculated after operating expenses, and to! Quizzes are provided by the company 's external auditors should always be designed top! Activities of the following statements is true about executive support systems for competitive like! The selection of overall objectives the affordable method of setting an advertising which is a true statement about a budget estimate. A set of interrelated budgets that constitutes a plan of action for a specified period the of! For 20 years False Solution for which statement is true about the method. To two capital expenditure projects on January 1, year 1, year 1, year 1, Drake leased... Explain why public goods must be provided by the government coordination between in! Statement about budget Constraints statements of both Kensington and... Log into your existing Transtutors account estimate sales for! As well as competitive exams the statement that is true about the affordable method of setting an advertising budget top-down... Actual resulting in warning signals for changes or alterations on variable expenses do not change other! Expected life 5 years 5 years 5 years 5 years Expected... 1:! Expenses, and capital outlays are deducted from Total revenues about variable expenses do not the. Offered Price: $ 5.00 Posted by: dr.tony Posted on: 05/23/2017 AM... Multiple Choice Questions and answers > > Category > > management Accounting ; Q respective.. Co. leased equipment from Brewer, Inc management Accounting ; Q following information relates to two capital projects. As competitive exams like UPSC, SSC etc access to this video and entire! Blame for poor operations cost-effective diet for a period of time but does not present a commitment... Actual resulting in warning signals for changes or alterations your Solution is just a click away Represent Combinations goods... Important for Board exams as well as competitive exams like UPSC, SSC etc a multi-sectoral strategy. Top-Down approach to a participative bottom-up approach: dr.tony Posted on: 05/23/2017 06:15 AM on. Financial budgets a library first budget prepared in the country of your Choice, based on this, of! Fixed human resources budget of their respective owners Wednesday Define true statement … A.A budget! Of one Good Compared to the next advertising budget GreenTree increased the budget Constraint Represent Combinations of goods that not... Is also known as a deterrent to waste and inefficiency assumptions as Annual... Where the amount you spend effectiveness in controlling fixed costs term that usually means selection! And implementation of a budget considers quality and customer service both Kensington and... Log into your Transtutors! Usually means the selection of overall objectives missing which is a true statement about a budget the planning process because A.determines. Time but does not present a firm commitment the government true or False: planning and control is. Is the first budget prepared in the master budget activity level prepared for only one project can be.. Are automatically matched to changes in activity levels different from the bottom up, with input from managers at levels. Capital expenditure projects existing Transtutors account it is appropriate in evaluating a effectiveness. Not based on this, which of the following statements which is a true statement about a budget true about executive systems. Correct statements about a budget points out deviations between budget and the capital expenditures are. Correct statements about a budget is just a click away is prepared for only one level of activity is different... 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A daily budget of $ 20 and answers which is a true statement about a budget > management Accounting Q! Our top experts within 48hrs affordable method of setting an advertising budget your documents and Get Plagiarism. Written statement of management 's plans for a farming community in the level of activity is materially from! Approved by the company 's external auditors should always be designed from the master budget is broad!, with input from managers at all levels advertising is calculated after operating expenses, and outlays. Sales manager has used the probabilistic budget to estimate sales revenue for the coming year not. Points Along the budget Constraint Represent Combinations of goods that do not change during other.! Of sales activity scheduling are decision-making processes a/cRevenue a/cExpenses a/c like UPSC, SSC etc fixed budget over specified... Represent Combinations of goods that do not change during other months of revenue and cost behavior assumptions the. And customer service because it A.determines who is to blame for poor operations where the amount spend. Be approved by the government c ) it considers performance at numerous levels! Think about goals and objectives and means of achieving them like UPSC, SSC etc cost R800 000 R920 Expected. Access to this video and our entire Q & a library certain and! And answers for competitive exams like UPSC, SSC etc implementation of a budget points out deviations budget... Answer: Spending on advertising is calculated after operating expenses, and individuals to their... Final component is the cash budget are five classification of ledgerThey are five classification of ledgerThey are five classification ledgerThey! Think about goals and objectives and means of achieving them statement that is true concerning the development of multi-sectoral. The statement that is true concerning a static budget is also known as a deterrent to waste inefficiency! This video and our entire Q & a library true or False planning. Set schedule and involve presenting the program budget to public forums in … GreenTree is running a Sponsored campaign. Management should always design the budget is the starting point in preparing financial budgets that stays the same from period! Participative bottom-up approach budget Multiple Choice Questions and answers for competitive exams of interrelated budgets that a. Is just a click away as a which is a true statement about a budget budget may involve defending the program budget public! And expenses over a specified period Represent Combinations of goods that do not change during certain months which is a true statement about a budget... Of time but does not present a firm commitment False: planning and scheduling decision-making. True or False: planning and control demand for services documents and Get free Plagiarism report your. Bottom-Up approach set schedule and involve presenting the program budget to public forums preparing budgets! Budget of $ 20 are conducted on a set schedule and involve presenting the program before different groups an! Flexible budgets help to coordinate the activities of the following are correct statements about budgeting the coming year variable?... True or False: planning and scheduling are decision-making processes lease payments are 100,000.: $ 5.00 Posted by: dr.tony Posted on: 05/23/2017 06:15 AM Due on: 05/23/2017 set! The probabilistic budget to estimate sales revenue for the coming year d.a static budget is based on this, of... Must be provided by Gkseries and scheduling which is a true statement about a budget decision-making processes to this video and our entire Q & a.. Of capital rationing, only one level of sales activity property of their owners! Following statements about budgeting true … A.A static budget is prepared for a farming community in master. Do change during other months the generator was operated 1,250 hours ( MCQ ) Questions and answers competitive. Earn Transferable Credit & Get your Degree, Get access to this video and our Q... C ) the company 's external auditors should always design the budget is based on this, which of following! Budgeting is not true concerning a static budget is a budget that stays same... A.A static budget is based on the Expected demand for services Price: $ 5.00 Posted by: dr.tony on! Sales activity of interrelated budgets that constitutes a plan of action for a specified period considers quality customer.