Asked by Sarah Saintilus on Jul 22, 2024
Verified
Flexible budgeting requires managers to estimate sales, production, and other operating data as though operations were being started for the first time.
Flexible Budgeting
A financial planning tool that adjusts budgets based on changes in actual activity levels, allowing for variable cost adjustment.
Operating Data
Information collected on the performance and efficiency of day-to-day operations within a company.
- Understand the basic concepts and components of the budgeting process.
Verified Answer
MV
Manish VishindasaniJul 27, 2024
Final Answer :
False
Explanation :
Flexible budgeting adjusts expenses based on changes in actual revenue or other activity levels, rather than starting from scratch as if operations were new.
Learning Objectives
- Understand the basic concepts and components of the budgeting process.
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