The BEST description of participative budgeting is that:
A)lower-level managers and employees initially prepare the budget.
B)managers and employees at many levels are involved with the budgeting process.
C)the budget is prepared by the top managers.
D)top management sets figures for all operating activities and these amounts are not negotiable.

Question

Quizplus · Accepted Answer

Participative budgeting involves managers and employees at many levels being involved with the budgeting process, which encourages collaboration and input from various perspectives. This is in contrast to the traditional approach where top management sets figures for all operating activities without seeking input from lower-level managers and employees. Therefore, option B is the best choice as it accurately describes participative budgeting.

The BEST Description of Participative Budgeting Is That