Question 1
Which of the following is a financial budget?
◦ budgeted balance sheet
◦ cash receivables budget
◦ production budget
◦ cost of goods sold budget
Question 2
Which of the following is not true of a properly executed budgetary cycle?
◦ deviations from plan are only investigated at the conclusion of the fiscal year as actual data can be finally compiled
◦ past performance and market feedback are considered in setting budget amounts
◦ specific financial and nonfinancial expectations are set
◦ during the fiscal year, managers investigate deviations from plans