Investments in bonds that management intends to bold to maturity are called trading securities. Supervisor salaries, maintenance. and indirect factory wages would normally appear in the operating expenses budget. In most business organizations, the chief accountant is called the controller. Only a single line, which represents the difference between total sales revenues and total costs, is plotted on the cost-volume-profit chan. Managers use managerial information to evaluate performance of a company's operation. Managerial information is for external as well as internal stakeholders. Inmost business organizations, the chief accountant is called the treasurer. If the proceeds from the sale of bond investments exceeds the carrying amount of the bonds, a gain is realized. The first budget to be prepared is usually the production budget. A budget can be an effective means of communicating management's plans to the employees of a business. Prime cost consists of direct materials, indirect materials, and direct labor. Comprehensive income must be reported on the income statement. Planning is the process of monitoring operating results and comparing actual resulted with the expected results