Which Statement Relating to the Provision of Motivation as a Benefit

question 20

Multiple Choice

Which statement relating to the provision of motivation as a benefit of budgeting is not true?

• A) An improperly prepared budget may have an adverse effect on motivation.
• B) To increase the chances of acceptance the budget is best approached from the bottom up.
• C) When all levels of management participate in preparing the budget it has a better chance of acceptance.
• D) The budgeted level of performance should be beyond that attainable with a reasonably amount of effort, to provide employees with a challenge.

Calculate budgeted material needs and understand raw material inventory management.

Calculate budgeted purchases based on sales and inventory requirements.

Understand factors influencing the preparation of a sales budget.

Recognize the structure and purpose of financial budgets including cash, sales, and merchandise purchases.

---

Definitions:

Production and Distribution

The process of creating goods and services and delivering them to consumers through various channels.

Role Conflict

A situation in which an individual faces competing expectations from different roles they occupy in society, causing stress or dilemmas.

Role Strain

The stress or tension experienced by an individual when conflicting demands are made on the person within the same role.

Role Inconsistency

The conflict or strain experienced by an individual when the expectations of different roles they occupy clash or are incompatible.