BUSN 278 Budgeting and Forecasting Entire Course

w2 dq1 Linear Regression
w2 dq2 Seasonal Variations
w3 dq1 Revenue Budget
w3 dq2 Capital Expenditures Budget
w4 dq1 Capital Budgeting
w4 dq2 New Business Startups
w5 dq1 Master Budget
w5 dq2 Cash Budgeting
w6 dq1 Cost Behavior
w6 dq2 Variance Analysis
w7 dq1 Administering the Budget
w7 dq2 Presenting and Defending a Budget
BUSN 278 Week 4 Midterm
(TCO 1) The type of budget that is updated on a regular basis is known as a ________________
(TCO 2) The quantitative forecasting method that uses actual sales from recent time periods to
predict future sales assuming that the closest time period is a more accurate predictor of future
sales is:
(TCO 3) The regression statistic that measures how many standard errors the coefficient is from
zero is the ________________
(TCO 4) Capital expenditures are incurred for all of the following reasons except:
(TCO 5) Which of the following is not true when ranking proposals using zero-base budgeting?
(TCO 6) Which of the following ignores the time value of money?
(TCO 1) There are several approaches that may be used to develop the budget. Managers
typically prefer an approach known as participative budgeting. Discuss this form of budgeting
and identify its advantages and disadvantages.
(TCO 2) There are a variety of forecasting techniques that a company may use. Identify and
discuss the three main quantitative approaches used for time series forecasting models.
(TCO 2) The Federal Election Commission maintains data showing the voting age population,
the number of registered voters, and the turnout for federal elections. The following table shows
the national voter turnout as a percentage of the voting age population from 1972 to 1996 (The
Wall Street Journal Almanac; 1998):
(TCO 3) Use the table “Food and Beverage Sales for Paul’s Pizzeria” to answer the questions
below.
(TCO 6) Jackson Company is considering two capital investment proposals. Estimates regarding
each project are provided below:
(TCO 6) Top Growth Farms, a farming cooperative, is considering purchasing a tractor for
$468,000. The machine has a 10-year life and an estimated salvage value of $32,000. Top
Growth uses straight-line depreciation. Top Growth estimates that the annual cash flow will be
$78,000. The required rate of return is 9%.