Q1. A master budget:

a. Drops the current month or quarter and adds a future month or quarter as the current month is completed

b. Presents a statement of expectations for a period of time but does not present a firm commitment

c. Presents the plan for only one level of activity and does not adjust to changes in the level of activity

d. Presents the plan for a range of activity so that the plan can be adjusted for changes in activity level

e. Divides the activities of individual responsibility centers into a series of packages Which are ranked individually

q2.

in developing a master budget for a manufacturing company which of the following items should be done first?

a. Develop a sales budget

b. Development of the capital budget

c. Determination of manufacturing capacity

d. Determination of the advertising budget

e. Preparation of a pro forma income statement

these are 2 questions