Which of the Following Best Describes the Purpose of an Activity

question 9

Multiple Choice

Which of the following best describes the purpose of an activity model?

• A)An activity model describes the sequence of workflow in a business process.
• B)An activity model constrains and guides process operations.
• C)An activity model depicts data structures.
• D)None of the choices are correct.

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Definitions:

Other Expenses

Costs not directly tied to the production of goods or services, including administrative and office expenses.

Flexible Budget

A budget that adjusts or flexes with changes in volume or activity levels of the company.

Administrative Expenses

Administrative expenses are the costs associated with the general administration of a business, such as salaries of executive officers, legal and accounting fees, and office supplies.

Planning Budget

A budget prepared at the beginning of a period, reflecting the expected financial situation based on forecasted activities and conditions.