1A1E IN DEVELOPING THE BUDGET FOR THE NEXT YEAR, WHICH ONE OF THE FOL...

3. CSO: 1A1b LOS: 1A1e

In developing the budget for the next year, which one of the following approaches would

most likely result in a successful budget with the greatest amount of positive motivation

and goal congruence?

a. Permit the divisional manager to develop the goal for the division that in the

manager’s view will generate the greatest amount of profits.

b. Have senior management develop the overall goals and permit the divisional

manager to determine how these goals will be met.

c. Have the divisional and senior management jointly develop goals and objectives

while constructing the corporation’s overall plan of operation.

d. Have the divisional and senior management jointly develop goals and the

divisional manager develop the implementation plan.

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