‘Budgeting is too often looked upon from a purely mechanistic viewpoint. The human factors in budgeting are more important than the accounting techniques. The success of a budgetary system depends upon its acceptance by the company members who are affected by the budgets.’

Discuss the validity of the above statement from the viewpoint of both the planning and the control aspects of budgeting. In the course of your discussion present at least one practical illustration to support your conclusions.