Question

Which of the following would have no effect, either direct or indirect, on an organization's cash budget?
A. Sales revenues
B. Outlays for proessional labor
C. Advertising expenditures
D. raw material purchases
E. None of the above, as all of these items would have some influence

Answer 1

Answer: E. None of the above, as all of these items would have some influence

Explanation:

All of the options will be listed in the cash budget as they all have some influence in the the cash received (spent) by the company.

Sales revenue will be included as a cash inflow in the business whilst processional labor, advertising expenditure and raw material purchases will be cash outlays.