Which of the Following Statements Is Not True

question 43

Multiple Choice

Which of the following statements is not true?

• A) GST estimates need to be included in a cash budget.
• B) A service business does not need to prepare a cash budget.
• C) Preparing operating budgets for service businesses is normally simpler than preparing them for retailers or manufacturers.
• D) The emphasis in budgeting for not-for-profit organisations tends to be on cash flows and the final cash position rather than on profits, income and expenditure.

---

Definitions:

Regression Analysis

A statistical method used to model the relationship between a dependent variable and one or more independent variables.

Dependent Variable

In statistical modeling, this is the variable being tested and measured to see if it is affected by changes in the independent variables.

Cook's D

A statistic used in regression analysis to identify influential data points that can disproportionately affect the results of the regression.

Leverage

A measure of how far the values of the independent variables are from their mean values.