All the Following Are Considered to Be Benefits of Participative

question 43

Multiple Choice

All the following are considered to be benefits of participative budgeting, except for:

• A)Individuals at all organizational levels are recognized as being part of a team; this results in greater support for the organization.
• B)The budget estimates are prepared by those in directly involved in activities.
• C)When managers set their own targets for the budget, top management need not be concerned with the overall profitability of operations.
• D)Managers are held responsible for reaching their goals and cannot easily shift responsibility by blaming unrealistic goals set by others.

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Definitions:

Shared-Property Ownership

An arrangement where two or more parties hold title to a property together, sharing rights and responsibilities.

Tenancy

A legal arrangement whereby an individual or entity occupies land or property rented from another, typically for a specified period under a lease.

Fee Simple Absolute

The highest form of property ownership, with unrestricted rights to use, dispose of, and inherit the property.

Lease Agreement

A legal contract in which one party agrees to rent property owned by another party, often detailing the terms, duration, and costs associated with the rental.