Answer:
Which of the following is an example of a service business?
Enterprise Rent-a-Car
Explanation:
Enterprise Rent-a-car is rendering a service which is to give away car to customer for a particular period or time in exchange for money so it is a service business
Answer:
Arbitrary allocation.
Explanation:
Arbitrary allocation is a method where costs budgeted are not based on any precise measurement,hence accurate costs could not be arrived at.
This approach to budgeting breeds inefficiencies as the accurate budgeting is expected to lead to accurate costing of products as well as pricing.
All in all,the true profitability of a business cannot be ascertained.
Finally,the organization adopting this type of approach needs to change to other accurate methods of budgeting such incremental or rolling budgeting.
I think it would be impact
