Which of the Following Is Not a Component of the Master

question 74

Multiple Choice

Which of the following is not a component of the master budget?

• A)Budgeted income statement
• B)Direct material purchases budget
• C)Ending inventory and cost of goods sold budget
• D)All of these answer choices are components of the master budget.

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Definitions:

Business Combinations

Transactions in which one entity gains control over one or more other businesses, often through mergers or acquisitions.

Comparative Financial Statements

Financial statements that provide financial information for multiple periods side by side to facilitate comparison.

Pooling of Interests

An accounting method for mergers and acquisitions where the assets and liabilities of two companies are combined at book value, not market value.

Financial Analysts

Professionals who examine financial data and trends to help businesses and individuals make investment decisions.