Which budget is the first one that must be done in the master budgeting process and why?
The sales budget is the first budget to be developed in the master budgeting process. The sales budget forms the basis for the rest of the budgets. A company must know estimated sales of each product in order to determine how much must be produced. The production budget, in turn, is used to develop the direct materials purchases, direct labor, and overhead budgets. These three budgets provide useful information in determining cost of goods sold. Clearly, the budgeted income statement requires the budgeted revenue from the sales budget. Without this budget, the others cannot be developed.
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Income tax accounting methods and financial accounting methods differ in many ways. Which of the following tax law provisions are likely to create permanent differences between the taxable income and the financial (or book) income of a single entity? I.Treatment of payment of penalties and finesII.Disallowance of 50% of the cost of business meals and 100% of entertainment?
A. Only statement I is correct. B. Only statement II is correct. C. Both statements are correct. D. Neither statement is correct.
An objective standard is used in determining whether an offer has been made
a. True b. False Indicate whether the statement is true or false
Tony raped Jane in the parking lot of Joe's Brew Pub. The District Attorney's office prosecuted Tony on rape charges. Subsequently, Jane filed a lawsuit against Tony for money damages. Classify each legal action
A)The District Attorney's case was a criminal case; Jane's lawsuit was a civil case. B)The District Attorney's case was a civil case. Jane's lawsuit was a criminal case. C)Both cases are criminal. D)Both cases are civil.
Professionals have a duty to perform their jobs at the level of: A)a reasonable person
B)a reasonable professional in the same business. C)an extraordinarily careful person. D)an extraordinary person.