The Difference Between Scheduled Receipts and Planned Order Receipts Is

question 60

Multiple Choice

The difference between scheduled receipts and planned order receipts is that ______.

• A)no difference
• B)planned order receipts are for orders already placed,scheduled receipts show quantity that is expected to be received
• C)scheduled receipts are for orders already placed,planned order receipts show quantity that is expected to be received
• D)planned order receipts authorize scheduled receipts

---

Definitions:

Margin of Safety

The difference between actual sales and break-even sales, measuring the risk of not reaching the break-even point.

Budgeted Income Statement

A financial statement forecasting the revenues, expenses, and net income for a specific period, based on proposed budgets and assumptions.

Contribution Margin Ratio

A financial metric that measures the proportion of sales revenue that exceeds variable costs, indicating how much contributes to covering fixed costs and generating profit.

Sales

The total amount of revenue a company generates from the sale of goods or services before any expenses are deducted.