A likely advantage of a participatory budget process (compared to a top-down budget process) is
A) Speed
B) Avoiding budgetary slack
C) Better acceptance of budget targets by lower-level managers
D) Avoiding conflict between lower-level managers in the setting of targets

Question

Quizplus · Accepted Answer

A participatory budget process involves lower-level managers in the budgeting process, which can lead to greater acceptance of budget targets. This is because they are able to provide input and feedback, which increases their sense of ownership and commitment to the budget. This can result in greater motivation to achieve the budget targets. Speed (A) and avoiding budgetary slack (B) are not necessarily advantages of a participatory budget process. Avoiding conflict between lower-level managers (D) can be a benefit, but it is not as significant as the acceptance of budget targets.

A Likely Advantage of a Participatory Budget Process (Compared to a Top-Down