An Organization Cannot Run Without Formulating and Implementing a Budget

question 63

True/False

An organization cannot run without formulating and implementing a budget.

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Definitions:

Intangible Asset

An asset that lacks physical substance but provides economic benefits to its owner, such as trademarks, patents, and goodwill.

Retained Earnings

Retained earnings refer to the portion of net income that is retained by the corporation rather than distributed to its shareholders as dividends, typically used for reinvestment in the business or to pay down debt.

Asset Category

Classifications for investments that exhibit similar characteristics, behave similarly in the marketplace, and are subject to the same laws and regulations.

Liquidity

The facility of making an asset cash without changing its market value.