help please. Thanks 1. The task of preparing a budget should be the sole task of

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help please.
Thanks

1. The task of preparing a budget should be the sole task of the most important department in an organization. a. True b. False 2. A formal written statement of management's plans for the future, expressed in financial terms, is called a budget. a. True b. False 3. Budgets are normally used only by profit-making businesses a. True b. False 4. The objectives of budgeting are (1) establishing specific goals for future operations, (2) executing plans to achieve the goals, and (3) periodically comparing actual results with these goals. a. True b. False 5. When budget goals are set too tight, the budget becomes less effective as a tool for planning and controlling operations a. True b. False

Explanation / Answer

Q1) ......... False

Preparation of budgets need co-operation and co-ordination of all departments. It is not a task of single department

Q2) ...... True

A budget is a quantitative statement estimation in a specific functional area.

Q3) ........False

Budgets are equally essential for not for profit entities also.

Q4) ..........True

Core objectives of budgeting is not just planning but also controlling

Q 5) .........True

Too tight and Too easy ......... both makes budgets ineffective

Q6) ...........False

Employee participation is needed to make the budget preparation more objective and employees view such budgets on positive ways.

Q7 ) ...........True

Participative budgets helps in reducing the budgetary slack

Q 8) ........ True

Co-ordination among the functional areas should be achieved to avoid the conflicts.

Q 9) ......... True

Q 10 ) ......... False

Budgets are means of communication between levels of management. Budgets are never shared with owners ( common stock holders )

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