MULTIPLE CHOICE AND TRUE AND FALSE QUESTIONS (100 POINTS) 1. A budget is 2, a. b. Quantitative expression An aid for of a proposed plan by management for a specific period of time coordinating what need to be done to implement management's plan. ue print that includes measure of performance both in quantitative and non- quantitative terms. d. All of the above. e. Only a and b above. 2. Long run budgets incorporate an organizations: a. Strategy b. Long-run plan Short-run plan d. Operational details e Only a, b, and c above. 3. Budgets have some limitations except: a. Making managers think within the box b. Overcome past performance as a basis for judging actual results. Past results often incorporate past miscues and substandard performance All are disadvantages of budgets. c. d. e. None is s limitation of budgets. 4. T. F. Budgeting Process contains both motivating and demotivating factors that must be overcome for its benefits to be manifested. T, F. The Revenue or Sales Budget is the first item to be addressed in any budgeting process. T, F. Another name for Master Budget is "Static Budget." T,F. Financial planning models are mathematical and nonmathematical representations of the relationships among operating activities, financing activities, and other factors. T,F. A responsibility center is a part, segment, or subunit of an organization whose manager is held responsible and accountable for all its activities. 5- 6. 7. 8. 9. T, F. An investment center manager is accountable for investments, revenues and costs 10. Responsibility Accounting is: a. System of accounting established in an organization b. A System that measure plans and budgets c. A system that measures actions and compares actual results with plans d. All of the above e. Only b and c above. a. Segregate controllable and uncontrollable costs. b. Exclude uncontrollable costs from his performance report 11. For responsibility accounting report, the manager may