When a Static Budget Is Used for Planning and Control

question 101

True/False

When a static budget is used for planning and control, managers may be tempted to build slack into their budgets.

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Definitions:

Buying Signal

A buying signal is an indication, either verbal or non-verbal, from a prospect showing interest in proceeding with a purchase.

Orphan Prospect

A potential customer or client that has not been regularly followed-up with or is no longer under the care of a specific salesperson, often due to changes in staff or oversight.

Sales Call List

A compiled list of potential or current clients that sales representatives intend to contact or visit to sell a product or service.

Re-qualify Prospect

The process of reassessing prospects to ensure they still meet the necessary criteria for potential sales or business engagements.