1) Which of the following is true of participative budgeting? A) Preliminary budgets are developed by top management and flows down to the departmental level. B) Budgets are developed separately in a company's business segments so coordination is not necessary. C) Budgets are more achievable because those impacted by the budget helped create it. D) The budgeting process is quick, usually only requiring one-two weeks to complete. 2) The starting point in developing the master budget is the preparation of the A) cash budget B) production budget C) sales budget D) budgeted income statement 3) The cash budget and the capital expenditure budget are collectively known as the A) operating budget B) master budget C) financial budget D) production budget 4) Which of the following statements is true of the operating budget? A) It is a part of the financial budget. B) It includes the capital expenditures budget. C) It includes the sales budget. D) Its final component is the cash budget