Describe What Is Meant by Participative Budgeting and Give an Example

question 68

Essay

Describe what is meant by participative budgeting and give an example of a benefit and a drawback.

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Definitions:

Endorsed

The act of signing one's name on the back of a document, typically a financial instrument, indicating approval or transfer of rights.

Negotiable Instrument

A written document guaranteeing the payment of a specific amount of money either on demand or at a set time, with the payee’s name mentioned on it.

Fraud in the Factum

A deception made during the act of signing a document, where the signer is misled about the nature of the document and what signing it entails.

Liable

Being legally responsible or obligated; for example, due to negligence or breach of contract.