Select the Incorrect Statement Regarding the Cash Budget

question 106

Multiple Choice

Select the incorrect statement regarding the cash budget.

• A) The cash budget helps managers to anticipate cash shortages and excess cash balances.
• B) Cash inflows and outflows indicated on the cash budget are reported on a company's pro forma statement of cash flows.
• C) Cash payments may include outflows for inventory, selling and administrative expenses, and equipment purchases.
• D) The total cash available is calculated by adding cash receipts and the ending cash balance.

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Definitions:

Unconditioned Responses

Natural, unlearned reactions to an unconditioned stimulus, such as reflexes or instinctual actions.

Learning

The acquisition of knowledge, skills, behaviors, or attitudes through experience, study, or teaching, leading to a permanent change in behavior or understanding.

Introspection

The examination of one's own conscious thoughts and feelings, often used in the context of psychology to analyze individual mental and emotional processes.

Associative Learning

Learning that certain events occur together. The events may be two stimuli (as in classical conditioning) or a response and its consequence (as in operant conditioning).