Which of the Following Outcomes Is (Are) Sometimes Associated with Participative

question 100

Multiple Choice

Which of the following outcomes is (are) sometimes associated with participative budgeting?

• A) Employees make little effort to achieve budgetary goals.
• B) Budget preparation time can be somewhat lengthy.
• C) The problem of budget padding may arise.
• D) Financial modeling becomes much more difficult to undertake.
• E) Budget preparation time can be somewhat lengthy and the problem of budget padding may arise.

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Definitions:

Expectations

The anticipations of consumers, firms, and others about future economic conditions.

Firms

Business entities or organizations engaged in commercial, industrial, or professional activities, aiming to produce and sell goods or services to consumers.

Law Of Supply

The principle that, other things equal, an increase in the price of a product will increase the quantity of it supplied, and conversely for a price decrease.

Supply Curve

A graphical representation showing the relationship between the price of a good and the quantity of that good that suppliers are willing to produce and sell.