Which of the Following Is Not One of the Benefits

question 15

Multiple Choice

Which of the following is not one of the benefits of budgeting?

• A)understanding of the interaction among different parts of the firm
• B)ensures that resources are allocated to value-added activities
• C)aids management in identifying areas requiring correction
• D)eliminates mistakes

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Definitions:

Taxes

Mandatory financial charges imposed by a government on individuals, corporations, and other entities to fund public expenditures.

Government Spending

The total amount of public funds that a government disburses on various services and projects.

Budget Deficits

The situation when a government's expenditure exceeds its revenue, resulting in a shortfall that needs to be financed through borrowing.

Economic Efficiency

A state in which resources are allocated in a way that maximizes the production of goods and services at the lowest cost.