Which of the Following Statements Regarding Budgets Is True

question 72

Multiple Choice

Which of the following statements regarding budgets is true?

• A) Budgets are detailed forward-looking financial reports based on expected income and expenses.
• B) Budgets describe a person's financial position at a given point in time.
• C) Budgets measure a person's financial performance at a given point in time.
• D) Budgets describe a person's financial goals over time.
• E) Budgets are historical documents that tell an individual how he or she has performed in the past.

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Definitions:

Economic Incentive

A financial or non-financial reward offered to encourage or discourage specific behaviors or actions by individuals or companies.

Raise Capital

The process by which a company or organization generates funds to finance its operations or growth, often through the sale of equity or debt securities.

Economic Incentive

A financial or non-financial reward offered to encourage or discourage certain behaviors or actions within an economy.

Financial Information

Data about a company's financial health, performance, and activities, including balance sheets, income statements, cash flow statements, and more.