Question

Which of the following is not a benefit of budgeting?

a. Management can plan ahead.
b. The coordination of activities is facilitated.
c. An early warning system is provided for potential problems.
d. It enables disciplinary action to be taken at every level of responsibility.

Answer 1

d. It enables disciplinary action to be taken at every level of responsibility.

Step-by-step explanation:

• Budgeting in business management involves setting financial and operational goals for a business.
• Budgeting ensures better management practices through prioritizing and financial planning.
• It also helps the management to plan and facilitate the coordination activities by allocating resources accordingly to various activities of a business.
• Budgeting also helps to improve efficiency in a business and monitor the performances of the business.