<span>The following statements is true of a mission statement:
</span><span>e. A well-developed mission statement, no matter what the industry or size of business, will answer five basic questions.
</span><span>d. A mission statement seeks to answer the question: "Why should you finance our business?"
</span><span>c. A good mission statement is a complex, detailed statement that explains how the organization will contribute to its specific industry.</span>
Uninsured motorists. Make sure you have it.
Answer: d. offer managers a more realistic comparison of budgeted and actual revenue and cost items under their control.
Explanation: A flexible budget is a budget that is flexible, in that it changes with changes in volume or activity. It reflects the expenditure appropriate to various levels of output and offers managers a more realistic comparison of budgeted and actual revenue and expenditure under their control that is applicable for that particular level of activity attained or achieved. As such it is far more useful and sophisticated than the static budget (whose budget amounts do not change) prepared before the fiscal period began when the production/activity level was uncertain.
