Presented Below Are Terms or Phrases Preceded by Letters a Through

question 196

Short Answer

Presented below are terms or phrases preceded by letters a through j and followed by a list of definitions 1 through 10. Match the correct definitions with the terms or phrases by placing the letter of the term or phrase in the answer space provided at the beginning of the definition.
(a) Budget
(b) Capital expenditures budget
(c) Activity-based budgeting
(d) Sales budget
(e) Production budget
(f) Cash budget
(g) Budgeted balance sheet
(h) Continuous budgeting
(i) Selling expense budget
(j) Rolling budgets
________ (1) A plan that lists the types and amounts of selling expenses expected during the budget period.
________ (2) A plan that shows expected activities and their levels for the budget period used to estimate resources required to perform the activities.
________ (3) A managerial accounting report that presents predicted amounts of the company's assets, liabilities, and equity as of the end of the budget period.
________ (4) A formal statement of future plans, usually expressed in monetary terms.
________ (5) A plan showing the expected sales units and dollars from the sales; the starting point in the budgeting process.
________ (6) A plan that lists dollar amounts estimated to be received from disposing of plant assets and spent on purchasing additional plant assets to carry out the budgeted business activities.
________ (7) The practice of preparing budgets for a selected number of several periods and revising those budgets as each period is completed.
(8) A plan showing the number of units to be produced each period, based on the units projected in the sales budget, along with inventory considerations.
________ 9) A plan that shows the expected cash inflows and outflows during the budget period, including receipts from loans needed to maintain a minimum cash balance and repayments of such loans.
________ (10) Additional monthly or quarterly budgets to replace the ones that have lapsed as each budget period goes by.

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Definitions:

IAS 36

An International Accounting Standard that prescribes the procedures for accounting for impairments of assets.

Amortized

The gradual reduction of a debt or capital cost over a period, especially through regular payments covering interest and part of the principal.

Intangible Assets

Non-physical assets owned by a business, such as patents, trademarks, copyrights, and goodwill, which have economic value due to their rights or advantages in business operations.

Goodwill

An intangible asset that arises when a business is acquired for more than the fair value of its net identifiable assets.