Question

Of all the benefits of budgeting, which benefit best explains the ability for a company to make an opinion about performance and identity problem areas?

a) Planning

b) Benchmarking

c) Performance Evaluation

d) Coordination and Communication

Answer 1

Of all the benefits of budgeting, which benefit best explains the ability for a company to make an opinion about performance and identity problem areas?

Answer:- c) Performance Evaluation

Reason:- Performance evaluation is the step in which the management compares the actual results with the standard or benchmarks. This is ability for a company to make an opinion about performance. Performance evaluation is an early indicator on the direction of companies plan, so the management can identity problem areas early and make plans to mitigate the same.