Ethical Conflicts Can Occur in the Budgeting Process Because Managers

question 2

True/False

Ethical conflicts can occur in the budgeting process because managers supply information for the budgets that are then used to evaluate their performance.

Comprehend the principles of impact investing and its role in organizational finance.

Apply various tools for comparing financial data and measuring organizational performance.

Distinguish between different types of benchmarking and their purposes.

Explain the significance of accountability and transparency in nonprofit organizations.

---

Definitions:

Petty Cash Account

A modest sum of money maintained readily available for covering various minor outlays instantly.

Establishing

The process of setting up or founding something, such as a new business, system, or set of rules.

Replenishing

The act of refilling or restocking to maintain an adequate level of supplies or inventory.

Voucher System

A control mechanism in accounting that uses vouchers as evidence for transactions before they are posted to accounts, enhancing financial accuracy and integrity.