The term budget indicates:
A)that standards have been used to develop the budget
B)that actual input data from past periods have been used to develop the budget
C)that engineering studies have been used to develop the budget
D)planned amounts for a future accounting period

Question

Quizplus · Accepted Answer

The term budget refers to the planned amounts for a future accounting period. A budget is an estimation of future revenues and expenses based on certain assumptions and goals, rather than actual data from past periods (option B), or standards (option A) or engineering studies (option C).

The Term Budget Indicates