Which of the Following Statements Is(are) True

question 51

Multiple Choice

Which of the following statements is(are) true?
(A) A favorable variance is not necessarily good, and an unfavorable variance is not necessarily bad.
(B) The master budget includes operating budgets (e.g., production budget) and financial budgets (e.g., cash budget) .

• A) Only A is true.
• B) Only B is true.
• C) Both of these are true.
• D) Neither of these is true.

---

Definitions:

High-Crime Area

A geographic location with a significantly higher rate of criminal activity compared to surrounding areas.

Loading Dock

A designated area in a facility where goods are loaded onto or offloaded from vehicles or shipping containers.

Bailment

A legal relationship in which physical possession of personal property is transferred from one person to another, who subsequently holds the property for a certain purpose under an agreement.

Bailed Property

Personal property that has been transferred to another under a bailment agreement, where the receiver has a duty to return or handle the property as directed.