What is the basic difference between a master budget and a flexible budget? Master budget is for five year period and flexible budget is for one year period. Master budget is on financial terms and flexible budget is on quantitative terms. Master budget is for specific capacity and flexible budget is for multiple capacity.

What is the basic difference between a master budget and a flexible budget? Master budget is for five year period and flexible budget is for one year period. Master budget is on financial terms and flexible budget is on quantitative terms. Master budget is for specific capacity and flexible budget is for multiple capacity.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Define Zero Based budgeting. Explain in 600 words the Process of Zero based Budgeting.
A flexible budget is a series of static budgets at different levels of activities. Select one: True False
Subject - account Please help me. Thankyou.
Which of the following best describes the selling and administrative budget? An estimate of cash expenditures for long-term assets. An estimate of all operating costs other than production costs. A budget that is based on sales projections plus an estimate of desired ending finished goods inventory less beginning finished goods inventory. None of the answer choices is
Which of the following elements are used in calculating Costs in a Flexible Budget? a. Budgeted unit costs times actual quantities of output b. Actual unit costs times budgeted quantities of output c. Budgeted unit costs times budgeted quantities of output d. Actual unit costs times actual quantities of output
Out of the following options please tell me which are two dimensions or the main aspects of budgeting? Incremental and Zero-Base Budget Strategic Plan and Performance Report Static Budget and Flexible Budget Planning and Control Budget Effectiveness and Efficiency
1. How does budgeting provide important information to managers and operating personnel? 2. Explain at least three times of budgets. 3. Explain how a flexible budget is used?
26. The sales budget is the first budget to be created in a commercial setting. This is followed by the production budget and the last of the functional budgets to be created is the cash budget. Explain why the budgets are created in this order.
Which of the following statements is true? I. The master budget consists of a number of separate but interdependent budgets. II. The production budget is typically prepared before the direct materials budget. III. The selling and administrative budget is typically prepared before the cash budget. Multiple Choice Only statement III is true. Only statement II is true. All of the statements are true. None of the statements are true.
43. A flexible budget: Group of answer choices a. presents the plan for only one level of activity and does not adjust to changes in the level of activity. b. resents the plan for a range of activity so that the plan can be adjusted for changes in activity levels. c. presents a statement of expectations for a period of time but does not present a firm commitment. d. classifies budget requests by activity and estimates the benefits arising from each activity.
PLEASE ANSWER ALL TRUE OR FALSE 14. The master budget is the basis of developing flexible budgets.15. A sales budget is different from a sales forecast.
Briefly (5-10) lines) give a written amswer to the following question: What function does an annual budget serve as a part of a company's performance measurement system and how can a budget be used to encourage goal congruence (or 'alignment')?