Options:
Leave the foundation revenues and expenses in the hospital's operating budget.
Remove the foundation revenues and expenses because it is a separate legal entity.
Remove the foundation revenues and expenses because Peggy doesn't get along with the foundation's director.
Peggy and David will work together to form a new agreed-upon budget.
Answer:Remove the foundation revenues and expenses because it is a separate legal entity.
Explanation:
The operating budgets can be described as the total amount planned to be expended for the overall day to day operation or running of an organisation. Manufacturing budget is critical to the successful operation of an organisation.
Types of cost that can be included in an Operating budget they include
Manufacturing costs such as MATERIALS, labor, and overhead or merchandise purchases, selling expenditures, and general and administrative expenditures.