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Explain main core about static budget and flexible budget.

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Question ajoutée par ahmed Abdelhameed , Finance Manager , Egypt Germany plus
Date de publication: 2014/10/05
mohamed Hakim CMA CPA Candidate
par mohamed Hakim CMA CPA Candidate , Accounting Manager , Andersen saudi arabia

Static Budget: Shows the expected results of a responsibility center for only one activity level. Once the budget is made, it is not changed, even if the activity level changes. Flexible Budget: shows the expected results of a responsibility center for several activity levels. The flexible budget is more accurate than the static budget because budget amounts adjust for changes in activity.

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