When a budget is used for controlling, it provides ________ against which resource consumption can be compared.
A)quantitative standards
B)qualitative standards
C)flexible standards
D)nonnumerical standards

Question

Quizplus · Accepted Answer

Quantitative standards are numerical benchmarks or targets against which actual performance can be measured and compared. A budget provides quantitative standards that allow for the comparison of actual resource consumption to the planned amounts in the budget. This helps in controlling and identifying variances between what was planned and what actually occurred.

When a Budget Is Used for Controlling, It Provides ________