When conducting sensitivity analysis on budgeted information, an increase in the budgeted number of products sold will have no effect on the budgeted cost of raw materials.

Question

Quizplus · Accepted Answer

An increase in the budgeted number of products sold typically leads to an increase in the budgeted cost of raw materials, as more materials are needed to produce the additional products.

When Conducting Sensitivity Analysis on Budgeted Information, an Increase in the Budgeted