1.When an income statement shows data for segments of the organization, and data for each segment are added together to get totals for the whole organization: a. all expenses should be allocated to the segments. b. common fixed expenses should be allocated to the segments. c. only direct revenues and direct expenses should be assigned to segments. d. direct fixed expenses should be subtracted as one amount in the "total" column. 2. The production budget uses all of the following except: a. the sales forecast. b. the ending inventory quantity. c. the cash receipts budget. d. the beginning inventory quantity. 3. The cash budget is especially important to a firm when: a. there is not a lot of confidence in the sales forecast. b. it has a relatively large amount of operating cash. c. their liabilities are relatively small and are not expected to increase in the near future. d. it may have to negotiate a short-term bank loan. 4. Janes travel budget for October was $330, based on her plan to drive 1,500 miles at a cost of $0.22 per mile. During October, she actually drove 1,250 miles at a cost of $290. A flexed budget performance report would show a variance of: a. $55 F b. $40 F c. $18 U d. $15 U