Question

Budgetary control has become an essential tool for _____________.

• A. Controlling costs
• B. Maximising profits
• C. Both (A) and (B)
• D. Minimising profits

Answer 1

The correct option is C Both (A) and (B)

Budgetary control has become an important tool of an organization to control costs and to maximize profits.

Thus, it is an effective method of controlling the activities of various departments of a business unit.