Question $2$

$3$ pts

Which of the following is correct about budgetary slack?

Managers may include budgetary slack by overstating budgeted sales figures.

Budgetary slack helps managers make responsible spending decisions since it removes performance evaluations based on budgeting.

Managers may include budgetary slack by understating budgeted expense figures.

Budgetary slack is a bit of cushion built into a budget, making it more likely budgetary goals will be met.