Operating budgets are a. a forecast of operating expenses and related revenues. b. a forecast of units of production. c. concerned with the income-generating activities of a firm. d. a forecast of expected operating expenses.

Question

Louis Hernandez

Business

6 September, 15:19

Operating budgets are a. a forecast of operating expenses and related revenues. b. a forecast of units of production. c. concerned with the income-generating activities of a firm. d. a forecast of expected operating expenses.

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Answers (1)

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Edgar · Answer 1

c. concerned with the income-generating activities of a firm.

Explanation:

An operating budget -

It refers to the activity of forecasting the expenses and revenues of the future, is known as operating budget.

An operating budget is prepared prior an year in order to show all the expected activities for the complete year in a concise manner.

It also enables to give the complete information of the resources including the reimbursable work or services.

Hence, from the given information of the question,

The correct answer is c.