When a manager is evaluated on the difference between sales revenue and the budgeted cost of making those goods and services, this is an example of a(n)________ budget approach.
A)revenue
B)cash flow
C)expense
D)profit

Question

Quizplus · Accepted Answer

This is an example of a profit budget approach, where the focus is on the difference between sales revenue and the budgeted costs, essentially measuring profitability.

When a Manager Is Evaluated on the Difference Between Sales