Which of the Following Items Should Be Taken into Account

question 65

Multiple Choice

Which of the following items should be taken into account when setting budgets?

• A) Positive behaviour of employees is more likely to result if the budgetary process is participative.
• B) The budget goals should not be so tight that they are unachievable.
• C) The goals of the individual sections' budget should be aligned with the firm's goals.
• D) All of the given answers

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Definitions:

Business Expenses

Costs incurred in the ordinary course of business, including salaries, utilities, and rent.

Income Statement

A financial report that shows a company's revenues and expenses over a specific period, culminating in the net income or loss for that period.

Asset

Economic resources owned or controlled by an entity that are expected to produce value.

Liability

Financial obligations or debts a company owes to others.