Reference no: EM132933509
Problem 1: The principal budget factor is the
Option 1: Factor which limits the activities of the organization and is often the starting point in budget preparation.
Option 2: Budgeted revenue expected in a forthcoming period.
Option 3: Main budget into which all subsidiary budgets are consolidated.
Option 4: Overestimation of revenue budgets and underestimation of cost budgets, which operates as a safety factor against risk.
Problem 2: Which of the following would NOT be included in a cash budget?
Depreciation
Provisions for doubtful debts
Wages and salaries
Option 1: (i) and (ii) only
Option 2: (ii) and (iii) only
Option 3: (iii) only
Option 4: (i) only
Problem 3: Overtime premium is
Option 1: The additional amount paid for hours worked in excess of the basic working week.
Option 2: The additional amount paid over and above the normal hourly rate for hours worked in excess of the basic working week.
Option 3: The additional amount paid over and above the overtime rate for hours worked in excess of the basic working week.
Option 4: The overtime rate.
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