A___________ Budget Is a Summary of Expected Costs for a Range

question 42

Multiple Choice

A___________ budget is a summary of expected costs for a range of activity levels geared to changes in the level of productive output.

• A) master
• B) flexible
• C) continuous
• D) departmental

---

Definitions:

Sunk Cost

Costs that have already been incurred and cannot be recovered, and therefore should not affect future business decisions.

Obsolete Desk Calculators

Desk calculators that have become outdated due to technological advancements or changes in user preferences, rendering them less useful or unwanted.

Contribution Margin

The amount remaining from sales revenue after variable costs have been deducted, indicating how much contributes to covering fixed costs and profit.

Fixed Corporate Costs

Expenses that do not vary with production volume or sales, such as salaries of managerial staff and rent for corporate headquarters.