Which of the following is most likely to be included as part of an operating budget?
A) Insurance
B) New plant
C) New building
D) Machinery

Question

Quizplus · Accepted Answer

Operating budgets are concerned with day-to-day expenses and activities of a business; therefore, costs such as insurance, salaries, and supplies are likely to be included. New plant, new building, and machinery are more likely to be included in a capital budget as these are long-term investments.

Which of the Following Is Most Likely to Be Included