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Author Question: Which of the following is a reason why budgets in multinational companies are not used to evaluate ... (Read 41 times)

Zoey63294

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Question 1

When the operating budget is used as a control device, managers are less likely to be motivated to budget higher sales than actually anticipated.
◦ true
◦ false

Question 2

Which of the following is a reason why budgets in multinational companies are not used to evaluate the firm's performance relative to its budgets?
◦ Evaluations based on budgets can be meaningless due to factors such as exchange rate risk and other volatility.
◦ Evaluations based on budgets are not possible because of cultural differences in the budgeting approach.
◦ Evaluations based on relative regional performance are considered more meaningful as compared to evaluations against budgets.
◦ Evaluations based on budgets are harder when managers use sophisticated techniques to minimize foreign currency exposure.


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Marked as best answer by Zoey63294 on Mar 6, 2021

Beatricemm

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Zoey63294

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)


sailorcrescent

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Reply 3 on: Yesterday
Gracias!

 

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