Which of the Following Budgets Usually Shows Separate Sections for Fixed

question 206

Multiple Choice

Which of the following budgets usually shows separate sections for fixed and variable costs?

• A) Operating expense budget and manufacturing overhead budget
• B) Manufacturing overhead budget and production budget
• C) Production budget and manufacturing overhead budget
• D) Direct materials and manufacturing overhead budget

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Definitions:

Foot-In-The-Door

A persuasion technique where a small initial request is made in order to gain compliance with a larger request later.

Door-In-The-Face

A persuasion technique where a large, unreasonable request is made first, followed by a smaller, more reasonable request.

Lowballing

A sales and negotiation tactic where an initial, lower price is offered to entice a buyer, before it is subsequently raised once the buyer is interested or committed.

Mere Exposure

A mental effect where individuals grow fond of things simply because they are accustomed to them.