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When budgets are administered thoughtfully, which of the following is true?
O Budgets are a substitute for the planning and coordination efforts of management.
O Performance evaluation subjectivity can be eliminated.
O Uncertainty faced by the company can be eliminated
O The use of budgets promotes coordination within the subunits of a company.
Question 2
Participative budgeting helps:
O decrease deviations from the budget
O create demanding but achievable budget
O secure communication of sensitive information
O generate greater employee commitment towards the budget

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