Explain why managers might want to build slack into a budget


Building slack into the budget allows managers to achieve the budgeted level of performance with less effort. Thus, they have a higher probability of achieving the budget and any bonus or compensation that may be tied to that performance standard.

Business

You might also like to view...

The process of transferring the debit and credit information from the journal to individual accounts in the general ledger is called journalizing.

Answer the following statement true (T) or false (F)

Business

Advertising expense would be an administrative expense

Indicate whether the statement is true or false

Business

A consumer's surplus represents an advantage for ________

A) producers B) suppliers C) consumers D) marketers E) business markets

Business

Life cycle assessment (LCA) is a marketing concept that addresses innovation in product development.

Answer the following statement true (T) or false (F)

Business