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Which of the Following Is an Advantage of the Arbitrary

Question 22

Multiple Choice

Which of the following is an advantage of the arbitrary allocation method?


A) By using the arbitrary allocation method,the company can be sure of not getting into any financial problems.
B) It keeps the ad spending within reasonable limits.
C) It uses a logical basis for determining the budgets.
D) This method of budgeting is generally stable.
E) The arbitrary allocation approach has no obvious advantages.

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