Decentralized control is most consistent with which of the following budget processes?
A) Bottom-up budgeting
B) Top-down budgeting
C) Strategic budgeting
D) Cost budgeting
E) None of these

Question

Quizplus · Accepted Answer

Decentralized control involves giving decision-making power to lower-level employees or departments within an organization. Bottom-up budgeting involves gathering input from these lower-level employees or departments in order to create a budget. This process is consistent with decentralized control as it empowers these individuals to have a say in the budgeting process. Top-down budgeting, on the other hand, involves creating a budget at the highest levels of an organization and imposing it on lower-level units. Strategic budgeting involves creating a budget that aligns with an organization's strategic goals, while cost budgeting focuses on managing and minimizing costs. Neither of these processes necessarily aligns with decentralized control.

Decentralized Control Is Most Consistent with Which of the Following