A budget that is established at the beginning of the period and not adjusted for different levels of actual sales activity is called a:
A) nonfinancial budget.
B) flexible budget.
C) static budget.
D) zero-based budget.

Question

Quizplus · Accepted Answer

A budget that is established at the beginning of the period and not adjusted for different levels of actual sales activity is called a static budget. It is not flexible and remains unchanged regardless of the actual level of sales activity during the period.

A Budget That Is Established at the Beginning of the Period