Which of the Following Is True of a Flexible Budget

question 121

Multiple Choice

Which of the following is true of a flexible budget?

• A) It is prepared by large firms only.
• B) It is used to measure whether or not a manager accomplishes his or her goals.
• C) It is usually not a good choice for benchmarks while preparing a performance report.
• D) It is a budget created in advance that is based on a particular level of activity.
• E) It enables a firm to compute expected costs for a range of activity levels.

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Definitions:

Operant Conditioning

A learning process through which the strength of a behavior is modified by reinforcement or punishment.

Projection

A defense mechanism where an individual attributes their own undesired feelings, thoughts, or impulses onto someone else.

Perception

The process by which individuals organize and interpret their sensory impressions to give meaning to their environment.

Self-Efficacy

An individual’s belief in their own capability to execute behaviors necessary to produce specific performance attainments.