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Central tendency is a factor that distorts performance appraisals.
Expected Sales
Forecasted or projected revenue figures estimated from future sales over a specific period.
Flexible Budgeting
A budgeting process that allows for adjustments to budgetary allocations based on changes in actual performance, revenue, or other factors.
Sales Budget
A financial plan that estimates the revenues expected from sales over a future period.
Production Budget
An estimate of all costs associated with manufacturing a product for a set period.
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