A flexible budget is really a series of static budgets. Do you agree or disagree? Explain.
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I disagree with the statement that a flexible budget is really a series of static budget. A static budget is a budget that shows the expected results of one specific item or issue. Further, once the static budget is created, it does not change, even if the activity level of said issue changes.
A flexible budget, however, is different. A flexible budget changes when activity changes. Furthermore, a flexible budget sis a budget that shows the expected results of several different items or issues, not just one specific. In addition, ...
This solution discusses flexible budgets for a series of static budgets.