What is true regarding static budgets? Select one: a. It is the budgeted amount used to calculate standard costs. b. It is the budgeted amount used to calculate the actual costs. c. It is also called moving or nonstationary budgets. d. All of the above

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oscar9632 oscar9632

31-07-2020
Business

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What is true regarding static budgets? Select one: a. It is the budgeted amount used to calculate standard costs. b. It is the budgeted amount used to calculate the actual costs. c. It is also called moving or nonstationary budgets. d. All of the above

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andromache andromache · Answer 1 · 2020-08-03T03:23:59+02:00

Answer:

b. It is the budgeted amount used to calculate the actual costs.

Explanation:

Static budget is the budget which remains the same even if there is some changes made but the flexible budget do not remain the same.

Moreover, the static budget is the main budget that used to prepare the standard cost by considering the budgeted activity level

Therefore it is the budget in which the budgeted amount should be considered in order to determine the actual cost that helps to make the flexible budget