Which of the Following Statements Is(are)true Regarding the Benefits Associated

question 8

Multiple Choice

Which of the following statements is(are) true regarding the benefits associated with participative budgeting?
(A) Goal congruence by divisions means top management need not be concerned with overall profitability.
(B) Budget assumptions and estimates are prepared by those closest to the budgeted activity.

• A) Only A is true.
• B) Only B is true.
• C) Both A and B are true.
• D) Neither A nor B is true.

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Definitions:

Royalty Agreements

Contracts specifying the terms under which royalties will be paid by one party to another, usually for the use of intellectual property, natural resources, or products.

Customer Base

The group of customers who repeatedly purchase the products or services of a business, forming the core of the company's sales revenue.

Goodwill

An intangible asset that represents the excess value of a company over its net asset value, often arising from factors such as reputation, brand, or customer loyalty.

Intangible Assets

Assets that do not have physical substance but are identifiable non-monetary assets without physical substance, used in the production or supply of goods or services, for rental to others, or for administrative purposes.