A Static Budget Is Based on a Single Assumed Level

question 109

True/False

A static budget is based on a single assumed level of sales and is an excellent tool for planning.

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Definitions:

Fallacy Of Composition

The logical error of assuming what is true for a part is also true for the whole.

Slippery Slope Fallacy

A logical fallacy that occurs when an argument suggests that a minor first step will lead to a chain of related and undesired events.

Fallacy Of Composition

The logical error of assuming that what is true for the individual parts must also be true for the whole group.

Slippery Slope Fallacy

A logical fallacy that asserts without sufficient evidence that a relatively small first action leads inevitably to a chain of related (negative) events.