When Preparing the Cash Budget, All the Following Should Be

question 118

Multiple Choice

When preparing the cash budget, all the following should be considered except:

• A) Cash receipts from customers.
• B) Cash payments for merchandise.
• C) Depreciation expense.
• D) Cash payments for income taxes.
• E) Cash payments for capital expenditures.

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Definitions:

Infractions

Minor violations or breaches of law which are typically punishable by fines rather than prison time.

Misdemeanors

Less serious criminal offenses that are punishable by fines or imprisonment for less than a year, typically in a county jail.

Act of Commission

A positive action or deed that violates a law or legal obligation, leading to liability.

Act of Omission

Failure to take an action that is legally or morally required, leading to harm or injury.