WorksheetsMA- Module 1
Total questions: 10
Worksheet time: 3mins
A cash budget mainly shows
Profit and loss
Cash inflows and outflows
Total assets
Production costs
Which of the following is a functional budget?
Master Budget
Capital Budget
Sales Budget
Zero-Based Budget
Sales budget is prepared primarily to estimate:
Production costs
Future cash flows
Expected sales volume or revenue
Administrative expenses
A flexible budget is prepared:
For only one level of activity
For multiple levels of activity
After actual results are known
Only for fixed costs
Which of the following is NOT a component of functional budgets?
Production Budget
Purchase Budget
Cash Budget
Master Budget
Cash budget helps management in:
Determining depreciation
Planning manpower
Ensuring liquidity
Determining tax liability
In cash budgeting, receipts from debtors are called:
Cash inflows
Provision for bad debts
Cash outflow
Cash Payments
Flexible budgeting is most useful when:
Costs are fixed
Activity level does not change
Costs are semi-variable
Output is constant
Which budget is prepared first in most organizations?
Cash Budget
Sales Budget
Production Budget
Purchase Budget
The main objective of a sales budget is to:
Reduce expenses
Estimate production cost
Forecast sales revenue
Control inventory
