Which of the following is a benefit derived from budgeting?
A)Budgeting focuses management's attention on past performance.
B)Budgeting avoids needing industry and economic factors in decision making.
C)Budgeting provides a basis for evaluating performance.
D)Budgeting avoids the need for incentives to improve employee performance.
E)Budgeting eliminates the need for coordination across departments.

Question

Quizplus · Accepted Answer

Budgeting provides a basis for evaluating performance by establishing performance goals and comparing actual results against those goals. It helps management identify areas where actual results are not meeting expectations and take corrective actions.

Which of the Following Is a Benefit Derived from Budgeting