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Forums › ACCA Forums › ACCA MA Management Accounting Forums › Assistance in Paper F2 Budgeting!
Question) Which of the following statements about the budgets and costing standards is/are true?
1. Budgets and standards are similar because they can both be used in all situations, even if output cannot be measured.
2. A standard need not be expressed in monetary terms, whereas a budget is expressed in money terms.
3. Budgets are used for control purposed, standards are not.
4. A budget gives the planned total aggregate costs for a functional cost center whereas a standard shows the unit resource usage for a single.
a) All four statements are true.
b) None of the statements are true.
c) Statements 2 & 4 are true.
d) Statements 1 & 3 are true.
Question) Which of the following would probably not be contained in a budget manual?
a) A timetable for budget preparation.
b) The allocation of a staff to a job.
c) An organization chart.
d) Specimen budgetary control reports.
I would appreciate your assistance on this. Thanks, Shams
The answer to the first question is (C)
The answer to the second question is (D)
(Does the book you found these question in not also give the answers? 🙂 )
