Question

A three-month budget is easier to prepare, anticipates large and unusual expenditures, and gives a better picture than a twelve-month budget.
Question 44 options:

True

False
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Question 45 (2 points)
A risk-free rate is a return on an investment that is guaranteed for a specified period.
Question 45 options:

True

False

Answer 1

**Question 44**: The claim that a three-month budget is easier to prepare, anticipates large and unusual expenditures, and gives a better picture than a twelve-month budget is generally considered **False**. While a three-month budget may be simpler or provide flexibility in certain contexts, a twelve-month budget is typically more comprehensive and suitable for long-term planning and monitoring.

**Question 45**: The statement that a risk-free rate is a return on an investment that is guaranteed for a specified period is **True**. The risk-free rate often refers to the return on government securities, such as treasury bills, which are considered free of default risk and provide guaranteed returns over a specified period.