A company will be in compliance with GAAP when it prepares financial statements in accordance with:

	a.	cost-volume-profit principles.
	b.	variable-costing principles.
	c.	all of the above methods.
	d.	absorption-costing principles.

Which one of the following sections appears on a cash budget?

	a.	Revenues
	b.	Sales
	c.	Expenses
	d.	Financing

Long-range plans

	a.	are different than budgeting in terms of the emphasis and the time period involved.
	b.	are used primarily as an evaluation of specific results to be achieved.
	c.	have the same amount of detail as the budget.
	d.	reflect management's plans encompassing one year.

Which of the following is relevant information in a decision whether old equipment presently being used should be replaced by new equipment?

	a.	the accumulated depreciation of the old equipment
	b.	the book value of the old equipment
	c.	the cost of the old equipment
	d.	the salvage value of the old equipment

What is the nature of a sell or process further decision?

	a.	It is neither incremental revenue nor incremental cost.
	b.	It is an incremental revenue decision.
	c.	It is both an incremental revenue and incremental cost decision.
	d.	It is an incremental cost decision.