budgeting

Hi dear john sir.,plz guide me about the following:

Q#1. Participation by staff in the budgeting process is often seen as an aid to the creation of a realistic budget and to the motivation of staff. There are, however, limitations to the effectiveness of such participation.
which of the following illustrate one of these limitations?

a. participation alllows staff to buy into the budget
b. staff suggestions may be ignored leading to de-motivation
c. staff suggestions may be based on local knowledge
d. Budgetary slack can be built in by senior manager as well as staff.

Q#2 If a company has no production resource limitations, in which order would the following budgets be prepared?

1. material usage budget
2. sales budget
3. material purchase budget
4. finished goods inventory budget
5. production budget
6. material inventory budget.

John sir confusing points are 4 and 6