Sir there is a question in Kaplan Kit ,although it is not a past Acca exam question, discuss the consequences of Budget bias (budgetary slack) for cost control? For 6 marks.
Sir this is neither covered in OT notes nor in studytext.
It certainly is mentioned in my lectures (the lectures on behavioural aspects)!
With bottom-up budgeting, managers are likely to deliberately budget more costs than they really need. If this is allowed to pass into the final budgets then it is not controlling costs to the extent that it should.
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