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The maintenance department of an organization has been budgeted $500,000 for the current year's maintenance work. At the end of the fiscal year, the general
The maintenance department of an organization has been budgeted $500,000 for the current year's maintenance work. At the end of the fiscal year, the general ledger shows that they have only spent $450,000 on maintenance. To avoid being granted $450,000 the next year, the manager has decided to wastefully spend $5,000. This is an example of - use-it-or-lose-it mentality - zero-based budget - budgetary slack - imposed budget
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