CUET Preparation Today
| Assertion: Modern formal budgets not only limit expenditures; they also predict income, profits, and returns on investment a year ahead. Reasoning: Unless the budgetary process is managed with extreme skill and care, the very virtues of budgeting can turn into negative. |
Both Assertion (A) and reasoning (R) are correct and R is the correct explanation of A.
Both Assertion (A) and reasoning (R) are correct and but R is not the correct explanation of A.
Assertion (A) is true but Reasoning (R) is not correct.
Assertion (A) is not true but Reasoning (R) is correct. |
| Both Assertion (A) and reasoning (R) are correct and but R is not the correct explanation of A. |
| In the broadest sense, a budget is an allocation of money for some purpose. Modern formal budgets not only limit expenditures; they also predict income, profits, and returns on investment a year ahead. They have evolved into tools of control and are also used as a means of determining such rewards as profit-sharing and bonuses. Unless the budgetary process is managed with extreme skill and care, the very virtues of budgeting can turn into negative. |
