A budget is useful in the planning process because it

Question

Quizplus · Accepted Answer

A budget forces managers to think about the goals and objectives of the organization and how to achieve them within the constraints of available resources. It provides a blueprint for decision-making and helps in identifying potential problems before they occur. It also facilitates effective communication within the organization and helps in evaluating performance. The other choices - A, C, and D - are potential drawbacks of budgeting rather than benefits.

A Budget Is Useful in the Planning Process Because It