1. What does a manufacturing overhead budget tell us?

1. How do direct costs differ from allocated fixed costs?

1. What does a capital expenditure budget indicate?

TRUE/FALSE The starting point for developing a master budget is the sales budget. _________________-

TRUE/FALSE Preparing the budgeted balance sheet is the first step in preparing budgets. __________________________

TRUE/FALSE Service organizations do not need production budgets. _________________-------

TRUE/FALSE Service organizations do not have ethical issues in budgeting. _____________________

TRUE/FALSE Differential analysis requires the identification of all assets that will change during the budget year. _______________________