159. Master budget, which is based on planned output level at start of budget period is considered as

A. static budget
B. varied budget
C. marketing budget
D. methodological budget
✅ The correct answer is option A.
Master budget, which is based on planned output level at start of budget period is considered as static budget. A static budget is a budget in which the amounts will not change even with significant changes in volume. In contrast to a static budget, a company’s sales department might have a flexible budget. In the flexible budget, the sales commissions expense budget would be stated as a percentage of sales.

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