Which of the following is not a potential benefit of using budgets?

Question

Quizplus · Accepted Answer

Budgets can enhance coordination of activities, motivate managers to achieve goals, and improve communication between departments. However, budgets are not directly related to the accuracy of external financial statements. While budgets can improve internal financial reporting and forecasting, external financial statements must adhere to accounting standards and regulations.

Which of the Following Is Not a Potential Benefit of Using