1. (TCO 1) Which one of the following is not a benefit of budgeting? (Points : 5
ID: 2800761 • Letter: 1
Question
1. (TCO 1) Which one of the following is not a benefit of budgeting? (Points : 5) It facilitates the coordination of activities. It provides definite objectives for evaluating performance. It provides assurance that the company will achieve its objectives. It provides early warning signs of potential threats 2. (TCO 2) Which of the following is not a qualitative forecasting method? (Points: 5) Executive opinions Sales force polling Delphi method Classical decomposition 3. crco 3) Which of the flloing statements regardling tihe t-statisti is true? Points 5) The t-statistic cannot be negative. The t-statistic measures how many standard errors the coefficient is away from the independent variable. The higher the t-value, the more confidence we have in the coefficient. Low t-values indicate high reliabilityExplanation / Answer
Ans.
1(TCO-1) all others are benefit of budgeting except that it gives assurance to company to achieve its objectives.
2(TCO-2) All are qualitative forecasting methods except the classical decomposition
3.(TCO-3)The t-statistic can be egative, low t-statistic value gives low reliabilty, The t-statistic defined the tendency of deoendent variables
Hence only true statement is higher the t-statistic higher the confidence level.
4. The amount of time between cash flows and R&D doset affect the risk for the organization, all else are true except this one, as more time between the two will increase risk and vice versa.