Which of the following statements is true Multiple Choice Em

Which of the following statements is true? Multiple Choice Employees often find that budgets are constraining and limiting. Participative budgeting means that a company\'s budget should be prepared by lower-level employees. In preparing a budget, information flows occur only from the bottom up The attitudes and actions of upper-level management have little impact on the effectiveness of a company\'s budget.

Solution

Ans: Option A

Reason: Budget sets the bar within which the employee had to perform their duties thus it create a constraint on their performance as all the resources required by them or all their ideas couldn\'t be implemented at one go because of the limits set under the budget and they had to perform within its pursuit. Thus employee tend to feel the budgets are constraints and limiting,