Question

When properly performed, bottom-up budgeting has the disadvantage of: A reduction of top management's control of the budget process to one of oversight. A lack of coordination among project managers and functional department heads. A lack of detail needed in project plans. Being a hindrance to top managers when prioritizing projects that are competing for the same scarce resources.

Answer 1

Answer:

A reduction of top management's control of the budget process to one of oversight.

Explanation:

Budgeting can be defined as a financial plan which helps different organizations in the control of their various revenues. Budgeting can also be described as a forecast of how much a company expect to sell and also how much they expect to spend on various costs.

Advantages of budgeting include:

- It helps an organization to achieve their objectives and goals.

- It helps businesses to decide on essential areas to channel their resources to.

Disadvantages of budgeting include:

- a budget may be inaccurate because it is prepared on the basis of assumptions.

- it is expensive and consumes a lot of time.