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In the Spaces Provided, Write the Letter of the Definition

Question 69

Matching

In the spaces provided, write the letter of the definition for each of the following terms:

Premises:

Responses:

Planning

Systematic planning for long-term investments in operating assets.

Controlling

Costs that remain constant in total, regardless of activity level.

Capital budgeting

Analyzing results, rewarding performance, and identifying problems.

Strategic planning

Outlining the activities that need to be performed for an organization to meet its objectives.

Operational budgeting

Costs that change in total in direct proportion to changes in activity level.

C-V-P analysis

Broad, long-range planning usually developed by top management.

Fixed costs

Managerial planning decisions regarding current operations that are characterized by regularity and frequency.

Evaluating

Implementing management plans and identifying how plans compare with actual performance.

Variable costs

Management's continual evaluation of profitability of various product lines to identify problems and potential solutions.

Production prioritizing

Techniques for determining how changes in revenues, costs, and level of activity affect the profitability of an organization.