A Static Budget Is Appropriate in Evaluating a Manager's Performance

question 165

Multiple Choice

A static budget is appropriate in evaluating a manager's performance if

• A) actual activity closely approximates the master budget activity.
• B) actual activity is less than the master budget activity.
• C) the company prepares reports on an annual basis.
• D) the company is a not-for-profit organization.

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Definitions:

Dependent Variable

The variable in an experiment or study that is affected by changes in the independent variable.

Relationship Between Variables

This concept refers to how two or more variables are connected or affect each other within a study or analysis.

Direction

In statistics, it refers to the tendency of a set of data points or a relationship between variables (e.g., positive or negative correlation).

Correlation Coefficient

A statistical measure that calculates the strength of the relationship between two variables.