Which of the following is not an operating budget
Capital costs are usually excluded from an operating budget. The term operating refers to a statement of operations (income statement) which does not include capital expenditures.
Which of the following is an operating budget?
1) The correct answer is (C) The customer service budget. An operating budget is made to showcase the activities that generate income, like sales and production and the operating expenses, like cost of goods sold and overhead.
What are the 4 elements of operational budget?
Cash inflows and cash outflows are used to calculate the budget. Operating expenses are a part of the total cash outflow. Setup cost is incurred for starting the business and hence is excluded in the budget calculations. So Option C is the right answer.
Which of the following is not included in a budget?
There are four common types of budgets that companies use: (1) incremental, (2) activity-based, (3) value proposition, and (4) zero-based.
Is cash budget part of operating budget?
so here Sales budget and production budget and the direct labor budget are the part of operating budget but cash is asset item and not an expenditure so cash budget is not a part of operating budget An operating budget refers to the forecast of one or more future months of income and expenditure anticipated.
Which information is essential in creating a budget?
Sufficient information at the proper level of details is essential in creating a budget Should be supported by their assumptions and be replicable, means another individual can reproduce the computations based on the same assumptions.
What is the difference between an are and a budget?
Are essentially based on a single level of operations. After being approved, that level of operations — or volume — is never adjusted during the budget period. Budgets are measured by how they differ from actual results. Is one created using budgeted revenue and budgeted cost amounts.
An operating budget is a forecasted, or predicted, financial statement that identifies all the revenue and expenses a company expects during a specified period of time, like a quarter or a year. Most businesses break down their operating budget by category of revenue for each product they sell. Expenditures are also broken down by the type of product. Operating budgets are further broken down by fixed and variable costs. The operating budget consists of different budgets, or ...
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- which of the following is not considered an operating budget
- which of the following is not an operating expenses
- which of the following is not included in an operating budget
- which of the following is not part of operating budget
- which of the following is not a component of operating budget
- which of the following is not an example of operating expenses
- which of the following factors is not an advantage of preparing operating budgets
- which of the following is not a purpose of an operating expense budget