Ineffective Budgets And/or Control Systems Are Characterized by the Use

question 98

Multiple Choice

Ineffective budgets and/or control systems are characterized by the use of

• A)budgets as a planning tool only and disregarding them for control purposes.
• B)budgets for motivation.
• C)budgets for coordination.
• D)the budget for communication.

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Definitions:

Ratifying

The formal approval or confirmation of an agreement or treaty, often requiring the final consent of the involved parties or governing bodies.

Personal Liability

involves the responsibility of an individual to personally satisfy debt or liability, potentially involving personal assets.

Fiduciary Relationship

A legal relationship wherein one party has the duty to act in another's best interests in matters over which they hold a trust or confidence.

Director

A member of the board of directors of a company who is responsible for participating in the decision-making processes regarding the company's management.