A cash budget
A) is an optional feature of a master budget.
B) requires input from all parts of the organization.
C) takes the place of another budget.
D) is prepared only at year end.

Question

Quizplus · Accepted Answer

A cash budget requires input from all parts of the organization to accurately predict the inflows and outflows of cash during a specific time period. It is typically included as a component of a company's master budget rather than serving as a replacement for another budget. Cash budgets are usually prepared on a monthly basis rather than just at year-end.

A Cash Budget