Consider the Following Statements About Budget Administration

question 64

Multiple Choice

Consider the following statements about budget administration.i.Regardless of size,the budgeting process in all organisations must be a formal process
Ii) The budget manual is prepared to communicate budget procedures and deadlines to employees throughout the organisation.
Iii) Good internal control procedures require that the manager responsible for managing the budget process be an individual other than the chief accountant.Which statement/s is/are true?

• A) i
• B) ii
• C) iii
• D) i and iii

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Definitions:

Purchase Returns

Goods returned to the supplier due to defects, damage, or dissatisfaction, resulting in a refund or credit to the buyer.

Freight-In

Costs associated with the shipping of raw materials or goods into a production facility or warehouse, typically included in the inventory cost.

Inventory Decreased

A situation where the quantity of goods available for sale by a business is reduced, typically because of sales or use.

Purchases

The total amount of goods and materials acquired by a business for resale or production within an accounting period.