Q2: Which of the following appears in the cash budget?

Select one:

a. Purchase of equipment on credit

b. Depreciation expense

c. Interest payments

d. Dividend declared

Q4: Depreciation of the store mannequin is an example of administration expense.

Select one:

a. True

b. False

Q5: The budget schedule that would provide the necessary input data for the direct labor budget would be the

Select one:

a. Sales budget

b. Raw materials purchases budget

c. Budget of cash receipts and payments

d. Production budget

Q9: For a merchandise firm, the purchases budget allows management to plan for the resources needed to meet the current sales demand and ensure that inventory levels are sufficient for future sales.

Select one:

a. True

b. False

Q11: A product cost is deducted from revenue (expensed) when

Select one:

a. the finished goods are sold

b. the expenditure is incurred

c. the production process takes place

d. the production process is completed

e. the finished goods are transferred to the Finished Goods Inventory