Marks Total 30 Chapter 6 1 1 1 1 1 1 1 1 1 1 Chapter 7 TRUE/FALSE - Write 'T' if the statement is true and 'F' if the statement is false. The master budget summarizes all the financial and nonfinancial plans into a single document. The budget constraint describes only financial limitations that are within the company's control. The priority approach to budgeting is an incremental approach. Budgets that change (rolling or continuous) motivate managers to look forward. The financial budget is that part of the master budget that comprises the capital budget, cash budget, operating budget, and budgeted balance sheet. The production budget of a manufacturing company is prepared after the revenue budget. A rolling budget encourages management to be thinking about the next 12 months. Responsibility accounting is a budgeting system that measures the plans and objectives of managers. A controllable cost is a cost that is not subject to the influence of a given manager of a given responsibility centre for a given time span. In a profit centre the manager is responsible for investments, revenues and expenses. Select the Answer from the cell below TRUE FALSE Notes: