FUNDAMENTAL ACCT PRIN TEXT+CONNECT CODE
15th Edition
ISBN: 9781265564483
Author: Wild
Publisher: MCG
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Textbook Question
Chapter 22, Problem 1E
Exercise 22-1
Budget consequences
C1
Participatory budgeting can sometimes lead to negative consequences. From the following list of outcomes that can arise from participatory budgeting, identify those with potentially negative consequences.
_______a. Budgetary slack will not be available to meet budgeted results.
_______b. Employees might understate expense budgets.
_______c. Employees might commit unethical or fraudulent acts to meet budgeted results.
_______d. Employees set sales targets too high.
_______e. Employees always spend budgeted amounts, even if on unnecessary items.
_______f. Employees might understate sales budgets and overstate expense budgets.
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Case 3
Ch 22 discussed Budgeting which involves (1) Planning - establishing specific goals, (2) Directing - executing plans to achieve the goals, and (3) Controlling - periodically comparing actual results with the goals and use the feedback to adjust activities in the future.
Ch 23 discussed Budget Variances- is the difference between the budgeted and the actual amount. The budget variance is favorable when the actual revenue is higher than the budget or when the actual expense is less than the budget.
Complete the Personal Budget which assumes:
Monthly Gross Wages=60000/12
$ 5,000.00
Deduct:
Fed Income Tax-15%
$ 750.00
per tax rate schedule
https://turbotax.intuit.com/tax-tips/irs-tax-return/current-federal-tax-rate-schedules/L7Bjs1EAD
FICA - 7.5%
$ 375.00
State Inc Taxes 5%
$ 250.00
https://www.ftb.ca.gov/forms/2020/2020-California-Tax-Rate-Schedules.pdf
Net Pay for Budget
$ 3,625.00
CH 28…
18
Which of the following is not the direct benefit of the budgeting process?
Identification of potential bottlenecks or constraints.
Goal congruence between the personal goals of managers and the goals of the organization.
Payments and completion of taxes
Communication throughout the organization.
Question 9
A budget is a specific plan for spending income.
True
False
Chapter 22 Solutions
FUNDAMENTAL ACCT PRIN TEXT+CONNECT CODE
Ch. 22 - Prob. 1DQCh. 22 - Prob. 2DQCh. 22 - Prob. 3DQCh. 22 - Prob. 4DQCh. 22 - Prob. 5DQCh. 22 - Prob. 6DQCh. 22 - Prob. 7DQCh. 22 - Prob. 8DQCh. 22 - Prob. 9DQCh. 22 - Prob. 10DQ
Ch. 22 - Apple regularly uses budgets. What is the...Ch. 22 - Prob. 12DQCh. 22 - Prob. 13DQCh. 22 - Prob. 14DQCh. 22 - Prob. 1QSCh. 22 - Budgeting process C1 Good management includes good...Ch. 22 - Components of a master budget C2 Identify which of...Ch. 22 - Prob. 4QSCh. 22 - Prob. 5QSCh. 22 - Prob. 6QSCh. 22 - Prob. 7QSCh. 22 - Prob. 8QSCh. 22 - Prob. 9QSCh. 22 - Prob. 10QSCh. 22 - Prob. 11QSCh. 22 - Prob. 12QSCh. 22 - Prob. 13QSCh. 22 - Prob. 14QSCh. 22 - Prob. 15QSCh. 22 - Prob. 16QSCh. 22 - Prob. 17QSCh. 22 - Prob. 18QSCh. 22 - Prob. 19QSCh. 22 - Prob. 20QSCh. 22 - Prob. 21QSCh. 22 - Prob. 22QSCh. 22 - Prob. 23QSCh. 22 - Prob. 24QSCh. 22 - Prob. 25QSCh. 22 - Prob. 26QSCh. 22 - Prob. 27QSCh. 22 - Prob. 28QSCh. 22 - Prob. 29QSCh. 22 - Prob. 30QSCh. 22 - Activity-based budgeting Activity-based budgeting...Ch. 22 - Prob. 32QSCh. 22 - Exercise 22-1 Budget consequences C1 Participatory...Ch. 22 - Exercise 22-2 Master budget definitions C2 Match...Ch. 22 - Prob. 3ECh. 22 - Prob. 4ECh. 22 - Prob. 5ECh. 22 - Prob. 6ECh. 22 - Prob. 7ECh. 22 - Prob. 8ECh. 22 - Prob. 9ECh. 22 - Prob. 10ECh. 22 - Prob. 11ECh. 22 - Prob. 12ECh. 22 - Prob. 13ECh. 22 - Prob. 14ECh. 22 - Prob. 15ECh. 22 - Prob. 16ECh. 22 - Prob. 17ECh. 22 - Prob. 18ECh. 22 - Prob. 19ECh. 22 - Prob. 20ECh. 22 - Prob. 21ECh. 22 - Prob. 22ECh. 22 - Prob. 23ECh. 22 - Prob. 24ECh. 22 - Prob. 25ECh. 22 - Prob. 26ECh. 22 - Prob. 27ECh. 22 - Prob. 28ECh. 22 - Prob. 29ECh. 22 - Prob. 30ECh. 22 - Prob. 31ECh. 22 - Prob. 32ECh. 22 - Prob. 33ECh. 22 - Exercise 22-35
Activity-based budgeting
A1
Render...Ch. 22 - Prob. 1APSACh. 22 - Prob. 2APSACh. 22 - Prob. 3APSACh. 22 - Prob. 4APSACh. 22 - Prob. 5APSACh. 22 - Prob. 6APSACh. 22 - Prob. 7APSACh. 22 - Prob. 8APSACh. 22 - Problem 22-1B Manufacturing: Preparing production...Ch. 22 - Prob. 2BPSBCh. 22 - Prob. 3BPSBCh. 22 - Prob. 4BPSBCh. 22 - Prob. 5BPSBCh. 22 - Prob. 6BPSBCh. 22 - Prob. 7BPSBCh. 22 - Prob. 8BPSBCh. 22 - Prob. 22SPCh. 22 - Prob. 1BTNCh. 22 - Prob. 2BTNCh. 22 - Both the budget process and budgets themselves can...Ch. 22 - The sales budget is usually the first and most...Ch. 22 - Prob. 5BTNCh. 22 - Prob. 6BTNCh. 22 - Prob. 7BTNCh. 22 - To help understand the factors impacting a sales...Ch. 22 - Prob. 9BTN
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Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- 17. If a manager builds slack into a budget, how would that manager estimate revenues and expenses? Multiple Choice a)over-estimate revenues and over-estimate costs b)budgetary slack does not affect revenues or costs c)over-estimate revenues and under-estimate costs d)under-estimate revenues and under-estimate costs e)under-estimate revenues and over-estimate costsarrow_forwardBudget slack in the operating budgets a. will cause an organization to operate more efficiently b. is rarely found if the budgets are imposed c. results from unintentional managerial computational errors d. will cause an organization to operate more effectivelyarrow_forwardWhen a manager is prohibited to exceed its spending from the allowable budget, it may Select the correct response: eliminate the need for comparisons of budgeted and actual amounts usually reduce the need to prepare a cash budget. result to improved profitability of the company cause harm to the performance of the companyarrow_forward
- indicate yes if it describes a potential benefit of budgeting orno if it describes a potential negative outcome of budgeting. Some employees might overstate expenses in budgets.arrow_forwardR4 Assignment Saved Outdoor Outfitters has created a flexible budget for the 70,000-unit and the 80,000-unit levels of activity shown as follows. Complete Outdoor Outfitters's flexible budget at the 107,000-unit level of activity. Assume that the cost of goods sold and variable operating expenses vary directly with sales and that income taxes remain at 30 percent of operating income. 70,000 Units 80,000 Units 107,000 Units $ 1,400,000 $ 1,600,000 960,000 Sales Ask Cost of goods sold 840,000 Gross profit on sales 2$ 560,000 $ 640,000 Operating expenses ($90,000 fixed) 370,000 190,000 $ 410,000 Operating income Income taxes (30% of operating income) 230,000 57,000 69,000 Net income 133,000 $ 161,000 Mc Graw Hillarrow_forwardwhat problems do you see with the rule requiring a balanced cyclically adjusted budget? Pls no copy paste and no plagiarised answerarrow_forward
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