Which of the following is/are likely to lead to budget acceptance?
I Targets are developed with employee inputs.
Ii Employees are held responsible for activities that they can control.
Iii Budget is cascaded down from corporate level to the various responsibility centres.
A) i only
B) i and ii
C) i and iii
D) ii and iii

Question

Quizplus · Accepted Answer

Involving employees in the development of targets can improve their buy-in and sense of ownership in the budget, leading to increased acceptance. Holding employees responsible for activities they can control can also increase accountability and motivation. However, cascading the budget down from the corporate level may not necessarily lead to budget acceptance, as it can be seen as a top-down approach without taking into account the specific needs and realities of each responsibility centre. Therefore, option iii alone may not be sufficient to ensure budget acceptance.

Which of the Following Is/are Likely to Lead to Budget