5 Written questions
5 Matching questions
- Sales budget
- Direct materials usage budget
- Strategic budget expenditures
- Relative performance contracts
- Time-driven activity-based
- a Shows expected sales in units at their expected selling prices.
- b Shows the amount and budgeted cost of direct material required for production
- c Reward managers for performance based on comparison of actual results with specified benchmarks not budgeted targets.
- d Represents budgets prepared in conjunction with a TDABC system.
- e Planned spending on projects and initiatives that lead to long-term value and competetive advantage.
5 Multiple choice questions
- Shows the physical amount and cost of planned purchases of direct materials.
- An incentive compensation plan whereby compensation is a function of actual performance compared to a fixed (budgeted) target.
- Shows planned production for given period.
- The "cushion" managers intentionally build into budgets to help ensure success in meeting the budget.
- Plans for all phases of operations and include production, purchasing, personnel, and marketing budgets.
5 True/False questions
Zero-base budgeting (ZBB) → A budgeting process based on activities and cost drivers of operations.
Kaizen budgeting → A budgeting approach that incorporates continuous improvement expectations in the budget.
Master budget → Depicts effects on cash of all budgeted activities.
Cash budget → Depicts effects on cash of all budgeted activities.
Budget → The process of projecting continuing operations and projects and then reflecting their financial impact.