Which of the following is NOT a characteristic of the budgeting process?
A) The budget process helps coordinate the activities of the organisation.
B) The budget process ensures that the business will make a profit.
C) The budget process forces management to plan ahead.
D) The budget process aids in performance evaluation.

Question

Quizplus · Accepted Answer

The budgeting process does not necessarily ensure that the business will make a profit, as there are many external factors that can affect profitability. However, the budget process can help identify potential problems and guide management in making adjustments to improve profitability.

Which of the Following Is NOT a Characteristic of the Budgeting