Question

6) No Substitute for Management :
Budgetary control by itself cannot prevent deviations from occurring. It only points out deviations from the standards and a deliberate effort has to be made to prevent deviation.

Answer 1

Dear student,
The budgetary control technique of management requires defining the goals to be achieved in measurable quantitative terms. Accordingly, the work is assessed by comparing the actual results with the set standards.

However, it must be remembered that budgetary control in itself cannot prevent deviations. It only highlights the deviations. The management then must make an effort towards minimising these deviations.