Chapter 9: Review
The comprehensive planning document for the entire organization is called the ____ budget.
master
The operating budgets culminate in the budgeted
Income statement
Which of the following is true? Only debit car transaction fees are limited by law. Only credit card transaction fees are limited by law. Neither credit card nor debit card transaction fees are limited by law. Bot credit card and debit card transaction fees are limited by law.
Only debit car transaction fees are limited by law.
Which term describes the situation in which a manager intentionally overbudgets expenses or underbudgets revenue?
Budgetary slack
Which budget reflects the company's plans to invest in new property, plant, and equipment?
Capital expenditures budget
Which of the following budgets is unique to merchandising companies? Production budget Cost of Goods Sold, Inventory, and Purchases budget Direct materials budget Operating expenses budget
Cost of Goods Sold, Inventory, and Purchases budget
Which of the following are non-cash expenses that will always result in differences between the budgeted operating expenses for a given period and the budgeted cash payments for the same period?
Depreciation expense and bad debt expense
Benefits of budgeting include
Planning, Coordination and communication, bench-marking.
Which of the following budgets must be prepared first, as it serves as a basis for most other budgets? Cash Production Operating Expenses Sales
Sales Budget
Which of the following is true for merchants that accept payments made by Visa, MasterCard, and other forms of "plastic"?
Transaction fees should be budgeted for in the operating expenses budget.