 In this presentation, we will take a look at multiple choice questions related to budgeting, going through the questions and then practicing test-taking skills with them. First question, long-term liability data can be gotten from a. The cash budget and capital expenditures budget b. The cash budget and purchases budget c. The cash budget and budgeted income statement d. The sales budget and production budget or e. The cash budget and debt budget. Let's go to this again using the process of elimination. Long-term liability data can be gotten from either a. The cash budget and capital expenditures budget. Now if we're talking about long-term liability, you would think cash might be involved because we'd have a cash, you know, the long-term liability could have gone up or down because of we got cash on the liability. So possibly and capital expenditures that's purchasing things like big things like property, plant and equipment which could result in a liability. So that sounds like it's possible. So we'll keep that for now. B says the cash budget and purchases budget and again we have the same kind of thinking there. Well cash, you know, could be could be involved for sure and then the purchases budget. Usually we think of purchases of merchandise. So you would think that that would go to a counts receivable and not the long-term liability but maybe, you know, I'll keep it for now. C says the cash budget and budgeted income statement. Now the cash budget seems reasonable but the income statement isn't really with a long-term liability will be. We might see interest on the income statement but the long-term liability itself would be on the balance sheet. So probably not C. D says the sales budget and the production budget. So on the sales side, why would we need to know sales for long-term liability? They're not really connected. There's not much, you know, there and then the production and then the production budget. So probably not D and then E says the cash budget and the debt budget. That sounds kind of reasonable. You would think you'd have the cash budget and a debt budget. So I'll keep that for now. So let's go through this again. Long-term liability data can be gotten from A says the cash budget and capital expenditures budget. And that, again, that sounds kind of reasonable. Cash budget, capital expenditures. B says the cash budget and purchases budget. So of that, of those two, I think B's, you know, they're similar. Both cash and we got capital versus purchases. I would think capital would be more appropriate because that would result in long-term liability as opposed to accounts payable.