True or false: A production budget is unique in that it does not show costs; it is always expressed in units of product.True false question.TrueFalse

True or False Analysis

1. Understanding Production Budget: A production budget outlines the number of units that need to be produced to meet sales goals and maintain inventory levels. It primarily focuses on quantifying the production needs rather than detailing the associated costs.

2. Nature of Expression: While the production budget is primarily concerned with the volume of output (units), it can be linked to costs in a broader budgeting context. However, its fundamental expression is in units, emphasizing production requirements.

3. Final Assessment: Given that the primary focus of a production budget is indeed on the units of product to be produced, without detailing the costs, the statement in question holds true.

Final Answer

True: A production budget is unique in that it does not show costs; it is always expressed in units of product.