Which of the following statements is incorrect?
A) An improperly prepared budget can have a negative effect on motivation.
B) Managers should be given sole responsibility for setting their own budget targets so that they are motivated to achieve these targets.
C) The budgeted level of performance should be attainable with a reasonably efficient amount of effort.
D) A properly prepared budget is a motivating device.

Question

Quizplus · Accepted Answer

Managers should not be given sole responsibility for setting their own budget targets as this can lead to bias and unrealistic targets. Budget targets should be set through a collaborative process involving multiple stakeholders to ensure that they are attainable and motivate employees to work towards achieving them.

Which of the Following Statements Is Incorrect