The _____ Method of Budgeting Is Being Employed When Expenditures

question 30

Multiple Choice

The _____ method of budgeting is being employed when expenditures are allocated by looking at the revenue generated from sales of the product during one year.The information gathered from this examination is used to determine the next year's dollar amounts.

• A)arbitrary allocation
• B)ROI
• C)payout planning
• D)return on investment
• E)competitive parity

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Definitions:

Probability Model

A mathematical representation of a random process, describing the likelihood of various outcomes.

Stock Value

Refers to the current financial worth of a share of a company's stock.

Electronics Company

A business involved in the design, manufacturing, and/or sale of electronic devices and components.

Probability Model

An analytical model that represents a random occurrence, defined by its set of all possible outcomes, the events contained in that set, and the likelihood of each of those events happening.