Budgeting Assists Management in Which of the Following Areas

question 55

Multiple Choice

Budgeting assists management in which of the following areas?

• A) Planning and setting objectives
• B) Motivation
• C) Performance measurement
• D) All of these are correct

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Definitions:

Collateral

Assets pledged by a borrower to secure a loan or credit, which can be seized by the lender if the borrower fails to repay according to the agreed terms.

Enforceable Security Interest

A legal claim or lien on collateral that secures the fulfillment of a debt or obligation, which can be enforced in court.

Escrow

A financial arrangement where a third-party holds and regulates payment of the funds required for two parties involved in a given transaction, ensuring fair and secure dealing.

Collateral

An asset offered as security for a loan, which can be seized by the lender if the borrower defaults on the loan payments.