What Is a Continuous Budget

question 63

Multiple Choice

What is a continuous budget?

• A)It is a budget that is constantly being revised as new information is gained.
• B)It is a budget that covers every aspect of the production process from the purchase of raw materials to the collection of revenue from sales.
• C)It is a budget where the time period just completed is dropped and an equal future time period is added.
• D)It is a term used to describe a budget that is prepared by a budget committee that meets on a continuous basis.

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Definitions:

Permanent Change

An alteration that is lasting and not reversible, affecting the future state or condition of its subject.

Spontaneous Recovery

The reappearance of a learned response after its apparent extinction, without the need for further conditioning.

Abstract Thinking

The ability to think about objects, principles, and ideas that are not physically present.

Neutral Stimulus

A stimulus that initially produces no specific response other than focusing attention.