The traditional line-item budget results in which of the following benefits? Appropriations are flexible to allow for the achievement of desired outcomes. Accountability and responsibility are easily assigned. The long timeframe allows for decision-making and planning. Costs of defined activities are identified.

The traditional line-item budget results in which of the following benefits? Appropriations are flexible to allow for the achievement of desired outcomes. Accountability and responsibility are easily assigned. The long timeframe allows for decision-making and planning. Costs of defined activities are identified.

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

Chapter23: Flexible Budgeting (flexbud)

Section: Chapter Questions

Problem 3R

See similar textbooks

Similar questions

Focusing on improving the activities that are showing significant differences between budgeted and actual results is: A.quantifying plans B.management by exception C.cash management D.creating benchmarks
Which of the following statements is true? Multiple Choice A flexible budget is an estimate of what revenues and costs should have been given the planned level of activity for the period. A flexible budget is a comparison of actual revenues and costs to what they should have been given the planned level of activity. A flexible budget is a comparison of actual revenues and costs at the actual level of activity to the actual revenues and costs incurred at the planned level of activity. A flexible budget is an estimate of what revenues and costs should have been given the actual level of activity for the period.
Question: What is the purpose of a flexible budget? a) To control costs and evaluate performance b) To prepare financial statements for external reporting c) To forecast long-term strategic goals d) To allocate overhead costs
Which budget type is defined as a budget process that emphasizes the achievement of goals and competition? Target-based budgeting Program budgeting Incremental budgeting Performance budgeting
The budgeted cost for all activities in a project with the help of earned value method is defined by: Group of answer choices Actual cost Budget for completion Budget at completion Estimate at completion
Budgets are an effective device to communicate a. objectives b. constraints c. expectation to personnel d. all of the choices
Which of the following is a use of budgets for control? *A. plans can be made for the futureB. communication is improvedC. if conditions change between the formation of the budget and the current time, budgets can be quickly adaptedD. budgets set a standard against which results can be compared
What budgeted amounts appear on the flexible budget report? O Actual costs for the budgeted activity level. O Actual costs for the estimated activity level. O Original budgeted amounts at the static budget activity level. Budgeted amounts for the actual activity level achieved.
Explain the relationship between performance reports and flexible budgeting.
Which budget evaluates the results of operations at the actual level of activity? A) capital budget B) cash budget C) static budget D) flexible budget
The first step of the budget process is: plan direct control feedback Static budget are often used by: production department. administrative departments. responsible centers. capital projects. A budget serves as a benchmark against which Actual results can be compared. Allocated results can be compared. Actual results become inconsequential. Allocated results become inconsequential. The following are characteristics of an effective budget, EXCEPT: Goals should be attainable. Evaluations should be made carefully with opportunities to explain any failures. They should be properly applied to avoid negative effects. Customers affected by a budget should be consulted when it is prepared. Which of the following is NOT a benefit of budgeting? It forces managers to look to the future. It plays an important role in communication within the organization. It serves an important role in motivating and rewarding employees. It encourages executives to build up organizational slack.…
Explain the difference between strategic and operational budgets.