Question 26

In budgeting, the principal budget factor is that variable that provides a ceiling for the overall organisational bottomline. The most commonest principal budget factor is

Select one:

a. Fixed capacity

b. Sales volume

c. Selling price

d. Unit cost

Question 27

Question text

The type of budget prepared to enable comparative analysis for various scenarios of budgeted activity level is known as

Select one:

a. Zero based budget

b. Incremental budget

c. Flexed Budget

d. Programmed based budget

Question 28

I am a performance management system that combines both financial and non-financial performance in my assessment of performance. My performance areas are financial, customer, internal and innovation and learning. What am I?

Select one:

a. Total Performance Management

b. Return of Capital Employed

c. Balanced Score Card

d. Balanced Performance Card

29.Frankico Ltd produces and sell bottled water. Standardized market price for a bottle of water is GHC1.50. Frankico needs to make a standard margin of 20%. What is the target cost gap if Frankico Ltd currently produce a bottle of water at GHC1.30 ?

Select one:

a. GHC0.10

b. GHC0.20

c. GHC1.20

d. GHC1.30