Why Are Flexible Budgets Powerful Control Tools

question 87

Multiple Choice

Why are flexible budgets powerful control tools?

• A)They allow managers to set the budget at a budgeted activity level.
• B)They allow the calculation of what cost should be for the actual level of activity.
• C)They allow the preparation of historical reports.
• D)They allow the calculation of what cost should be for the budgeted level of activity.

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Definitions:

Syntax

The arrangement of words and phrases to create well-formed sentences in a language.

Infinite Generativity

The capacity of language to produce an endless number of meaningful sentences using a finite set of rules and vocabulary.

Pragmatics

The study of how context influences the interpretation of language, including the intentions and social implications behind words.

Morphemes

The smallest grammatical units in a language that carry meaning, such as roots, prefixes, and suffixes.