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Fundamental Accounting Principles 22th Edition by John Wild ,Ken Shaw,Barbara Chiappetta
Edition 22ISBN: 978-0077862275Fundamental Accounting Principles 22th Edition by John Wild ,Ken Shaw,Barbara Chiappetta
Edition 22ISBN: 978-0077862275 Exercise 72
Participatory budgeting can sometimes lead to negative consequences. From the following list of outcomes that can arise from participatory budgeting, identify those with potentially negative consequences.
_____a. Budgetary slack will not be available to meet budgeted results.
_____ b. Employees might understate expense budgets.
_____ c. Employees might commit unethical or fraudulent acts to meet budgeted results.
_____ d. Employees set sales targets too high.
_____ e. Employees always spend budgeted amounts, even if on unnecessary items.
_____ f. Employees might understate sales budgets and overstate expense budgets.
_____a. Budgetary slack will not be available to meet budgeted results.
_____ b. Employees might understate expense budgets.
_____ c. Employees might commit unethical or fraudulent acts to meet budgeted results.
_____ d. Employees set sales targets too high.
_____ e. Employees always spend budgeted amounts, even if on unnecessary items.
_____ f. Employees might understate sales budgets and overstate expense budgets.
Explanation
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Participatory Budgeting is a budgeting p...
Fundamental Accounting Principles 22th Edition by John Wild ,Ken Shaw,Barbara Chiappetta
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