Which Type of Budget Accounts for Both Revenue and Expenditures

question 17

Multiple Choice

Which type of budget accounts for both revenue and expenditures associated with the day-to-day functions of a department or organization?

• A) an operating budget
• B) a capital budget
• C) a construction budget
• D) an accounting budget

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Definitions:

Financial Statements

Financial statements are formal records of the financial activities and position of a business, person, or entity, providing an overview of a financial situation over a specific period.

Physical Existence

The actual, tangible presence of an asset, as opposed to intangible assets or rights.

External Audit

An independent examination of financial records and statements, conducted by an outside firm, to ensure accuracy and compliance with accounting standards.

Financial Statements

Official documentation detailing the monetary transactions and financial standing of a company, person, or different organization.