The Capital Expenditures Budget Is Not a Component of the Operating

question 34

True/False

The capital expenditures budget is not a component of the operating budget.

---

Definitions:

Job Order Costing

An accounting methodology used for assigning manufacturing costs to an individual product or batches of products, typically when each product's construction is sufficiently unique.

Process Cost Accounting

A method of accounting used for goods produced continuously, assigning costs to units of output.

Product Costs

The costs directly associated with manufacturing a product, including materials, labor, and overhead costs.

Factory Departments

Specific areas within a factory, each dedicated to a particular stage of the manufacturing process or type of task.