A Manager Used Her Position in the Company to Develop

question 16

Multiple Choice

A manager used her position in the company to develop a new business the company might have pursued.This is a breach of the:

• A) duty of care.
• B) duty of non-competition.
• C) duty of loyalty.
• D) duty of recognition.

Understand the role of fixed and variable costs in developing flexible budgets.

Evaluate the financial performance of a company using budgetary data.

Understand the concepts of fixed and variable costs in budgeting.

Learn to calculate and interpret the planning budget.

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Definitions:

Direct Labor

Labor costs directly attributable to the production of goods or services, such as wages for assembly line workers.

Cash Budget

A financial plan detailing a company's cash inflows and outflows over a specific period, used for managing cash flow and ensuring liquidity.

Budgeted Income Statement

A forecasted income statement showing projected revenues, expenses, and net income for a specific period.

Budgeted Balance Sheet

A financial statement projected for a future date, outlining the anticipated assets, liabilities, and equity based on planned operations and capital activities.