Which of the Following Is Not a Benefit of Budgeting

question 25

Multiple Choice

Which of the following is not a benefit of budgeting?

• A) It uncovers potential bottlenecks before they occur.
• B) It coordinates the activities of the entire organization by integrating the plans and objectives of the various parts.
• C) It ensures that accounting records comply with generally accepted accounting principles.
• D) It provides benchmarks for evaluating subsequent performance.

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Definitions:

Truth-In-Lending Act

A U.S. federal law designed to protect consumers in their dealings with lenders and creditors, by requiring clear disclosure of key loan terms and costs.

Interest

The cost of borrowing money, typically expressed as a percentage of the amount borrowed, or the return on investment.

Misrepresentation

The act of providing false, misleading, or incorrect information typically in a contractual context, leading to an erroneous belief by another party.

Material Omission

The failure to include vital information that results in a deceptive representation, significant in legal and financial disclosures.