A Formal Written Statement of Management's Plans for the Future

question 78

True/False

A formal written statement of management's plans for the future, expressed in financial terms, is called a budget.

---

Definitions:

Break-Even Sales

The amount of revenue required to cover total fixed and variable costs, beyond which a business starts generating profit.

Break-even Sales

The amount of revenue required to cover all fixed and variable costs, resulting in no profit or loss.

Northern Division

A geographical or organizational subdivision of a company or entity located in the northern region.

Break-even Sales

The amount of revenue needed to cover total costs, at which point a business neither makes a profit nor incurs a loss.