This objective test question contains a question type which will only appear in a computer-based exam, but this question provides valuable practice for all students whichever version of the exam they are taking.
While a drag and drop style question is impossible to fully replicate within a paper based medium, some questions of this style have been included for completeness.
Incremental budgeting can sometimes be an appropriate methodology for setting budgets.
Which of the following statements are true?
Incremental budgets could be appropriate when:
The business is growing rapidly
Applied to total sales in an international seasonal business
Applied to stationary costs
Applied to production costs
The business is stable
For administration costs when the experience of the managers is limited
Drag the correct answers in to the box: