A Flexible-Based Budgeting System

question 33

Multiple Choice

A flexible-based budgeting system

• A) uses functional-based line items.
• B) splits costs into variable and fixed components.
• C) prepares budgets for a range of activity levels.
• D) All of the above are correct.

---

Definitions:

Curve Shifts

Movements of a demand or supply curve to the left or right, indicating a change in the quantity demanded or supplied at every price.

Positive Correlation

A relationship between two variables in which both variables move in the same direction, meaning as one variable increases, the other does as well.

Same Direction

Indicates movement or trend in parallel or consistent alignment with another.

Model Depicted

A representation of a system or phenomenon used to predict or explain real-world behavior.