What Is the Role of Top Management in a Participative

question 15

Multiple Choice

What is the role of top management in a participative budgeting system?

• A) Top management has no role-the budget is entirely developed by the lower-level employees.
• B) Top management must always tighten employee-set budget standards to eliminate employees' attempts to build slack into the standards.
• C) Top management must ensure that employee-generated objectives are consistent with those of the company.
• D) All of the answers are correct.

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Definitions:

Stimulus

Anything in the environment that elicits a response from an organism or a psychological system.

Place Theory

A theory in hearing that proposes the perception of sound pitch is determined by the location of maximum vibration on the basilar membrane of the inner ear.

Pitch Perception

The ability of an individual to recognize and differentiate sounds based on their frequency, enabling us to identify musical notes, tones, and the inflection in speech.

Basilar Membrane

A structure in the cochlea of the inner ear that plays a key role in the sense of hearing by vibrating in response to sound.