Question

A static budget __________. a. is changed only if the actual level of activity changes from the original plan of activity b. is the most useful type of budget are not usually prepared c. by a company displays planned results based upon the original budgeted activity level

Answer 1

C. by a company displays planned results based upon the original budgeted activity level

Step-by-step explanation:

Static budget: It is referred to as a budget that does not change even if the volume of output changes. These are the fixed budget which helps in evaluating a manager's performance and effectiveness in controlling costs when the budget is fixed. The static budget report will be appropriate in evaluating a manager's performance if the actual activity closely approximates the master budget activity.