A Summary of Expected Costs for a Range of Activity

question 64

Multiple Choice

A summary of expected costs for a range of activity levels that is geared to changes in the level of productive output is the definition of a

• A)continuous budget.
• B)flexible budget.
• C)master budget.
• D)period budget.

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Definitions:

Form 941

A federal tax form used by employers to report quarterly federal income tax withheld from employees' wages and payroll taxes.

Form 940

A tax form filed by employers to report annual Federal Unemployment Taxes (FUTA).

Income Summary

An account used in the closing process to collect the balance of all temporary accounts and transfer the result to permanent equity accounts.

Expense Accounts

Ledger accounts that record the costs incurred by a business in its operational activities, excluding the cost of goods sold.