Which of the Following Describes the Selling and Administrative Expenses

Multiple Choice

Which of the following describes the selling and administrative expenses budget?

A) It aids in planning to ensure the company has adequate inventory on hand.
B) It captures the variable and fixed components of selling and administrative expenses of the business.
C) It depicts the breakdown of sales based on terms of collection.
D) It shows the cash flows related to the selling and administrative expenses and helps in planning to ensure the business has adequate cash.