Which of the Following Statements Is TRUE of the Operating

question 136

Multiple Choice

Which of the following statements is TRUE of the operating budget?

• A) It is a part of the financial budget.
• B) It includes the capital expenditures budget.
• C) It includes the sales budget.
• D) Its final component is the cash budget.

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Definitions:

Tangible Assets

Refers to physical and material assets that an organization owns, such as buildings, machinery, and inventory.

Human Capital

The sum of employees' knowledge, skills, experience, and commitment invested in the organization.

Superior Performance

Refers to achieving better than average outcomes and results in a given field or for a specific task compared to competitors or previous benchmarks.

Successful Implementation

Achieving desired outcomes and meeting predefined goals through careful execution of a plan or project.