The cash budget is nothing more than a forecast of the firm's cash inflows and outflows for a specific time period, and it will never be completely accurate.

Question

Quizplus · Accepted Answer

The cash budget is based on estimates and assumptions, which can vary from actual results. Therefore, it can never be 100% accurate, and there may be differences between the forecasted and actual cash inflows and outflows.

The Cash Budget Is Nothing More Than a Forecast of the Firm's