Regarding the Budgeting Process for the Entire Firm

Multiple Choice

Regarding the budgeting process for the entire firm:

A) Using a short-term (3 month) budget destroys the value of a budget as a tool for managerial control.
B) The process starts with the preparation of a financial department budget,because that is where the money comes from.
C) The sales budget depends upon the production department budget.
D) Small firms really do not need budgets.
E) None of these is correct.