Estimating the effects of changes in budget assumptions, such as determining the impact of an increase or decrease in sales, is called:   Question 4 options:   static budget analysis.   sensitivity analysis.   variance analysis,   cost reduction analysis.       (Ch 10) An advantage of a flexible budget is that it:

Q: A static budget: Multiple Choice O is preferred over a flexible budget in the evaluation of…

A: A static budget is a budget that remains fixed, or constant, regardless of the actual level of…

Q: Top-down budgeting is preferred to a bottom-up approach, especially to monitor controllable costs.…

A: In a top-down budgeting approach, the budget is created by the top management of the company and…

Q: Which statements regarding flexible budgeting are true? Multiple select question. It involves…

A: Initially, a static budget is prepared for budgeted activity at budgeted (or standard) costs. A…

Q: For most organizations, a budget is the benchmark for evaluating actual performance. O True O False

A: Budget is the estimation of future data for the achievement of its goals and objectives.

Q: Explaining Costs That Change with Flexible Budget Activity When preparing a company's flexible…

A: Budgets: Budgets are prepared for the planning and controlling purposes. Budgets facilitate…

Q: Multiple Choice gives management flexibility in terms of meeting budget goals. is preferred over a…

A: Flexible budgets reflect a company's anticipated costs based on variations activity levels. Flexible…

Q: ‘Budgeting has a number of different purposes including: Planning; Control; Performance evaluation;…

A: A budgeting system helps an organization to plan and decide the amount to be spent in a particular…

Q: An advantage of the flexible budget over the static budget is: Group of answer choices Flexible…

A: The question is asking to identify the advantages of a flexible budget over a static budget. A…

Q: Describe one objective of the budgeting. Discuss the consequences of setting budget goals too…

A: Answer:- Budget:- A budget is basically an estimate of income and expenses for a given future period…

Q: Which of the budgets listed below is best for managers to use when planning revenues and expenses at…

A: Budget reflects the estimated figures of revenues and expenses over a specified period of time

Q: What are the advantages and disadvantages of   incremental/decremental and zero based budgeting?

A: Budgeting is the process of planning, allocating, and managing financial resources for a specific…

Q: What can you tell me about variance, as it concerns fixed or variable budgets? What is favorable…

A: The question is related to Standard costing and Budgetory Comtrol. Variance may be defined as the…

Q: Which one of the following statements regarding the difference between a flexible budget and a…

A: A flexible budget provides cost allowances for different levels of activity, but a static budget…

Q: Flexible budgeting and variance analysis are critical tools for effective financial management in…

A: A flexible budget is a budget that adjusts or flexes for changes in the volume of activity. The…

Q: S1: A budgeted cost for one unit of product may not always be the standard cost of said product. S2:…

A: solution concept Budgeted cost means the cost that is expected to be incurred and planned to be…

Q: Match the definition the term.  Terms: Cost variance   Overhead cost variance   Price variance…

A: The practise of organizing and regulating a company's operating expenses is known as cost…

Q: An advantage of the flexible budget over the static budge

A: A budget is a thorough financial plan, usually for an individual, business, government, or other…

Q: In a production budget, the volume of production is the first thing to calculate, but deducting the…

A: Making a production budget requires understanding how many units are in the company's beginning…

Q: 1. Match cach of the following terms with the appropriate definition. The difference between actual…

A: Different techniques of cost Analysis Importance of cost analysis in the organisation to determine…

Q: Define Zero Base Budgeting. What are the steps involved in this?

A: The company prepares the budget to make a plan for how the money is spent. Budgeting is very…

Q: Describe scenarios/situations when it is appropriate and when it is not appropriate to use a static…

A: Static budget is also called fixed budget. Static budget does not change with the change in the…

Q: cost variance

A: Variance analysis plays a key role in the functioning of any company. It lets you identify key areas…

Q: In making a short-term special decision, which of the following is MOST important? a. Use a…

A: Solution Concept The decision that is to be taken differs from one another on the basis of the time…

Q: A static budget is most useful for evaluating a manager's performance in controlling variable costs.…

A: Budgets are the statements prepared by the entity for the purpose of estimating the future values.…

Q: Static budgets use a static c. flexible d. high level of activity. a. low b.

A: Budget is the plan of the company's spending based on its income and expenses.  It estimates the…

Q: Using budgets as a performance benchmark is often since the actual performance will most likely…

A: Using budgets as a performance benchmark is often challenging or unreliable since the actual…