A flexible budget may be prepared:
A)Before the operating period only.
B)After the operating period only.
C)During the operating period only.
D)At any time in the planning period.
E)Only when the company encounters excessive costs.

Question

Quizplus · Accepted Answer

A flexible budget can be prepared at any time in the planning period as it is designed to adjust to changes in activity levels and provide more accurate budget estimates. It is not limited to before or after the operating period, during the operating period only, or only when encountering excessive costs.

A Flexible Budget May Be Prepared