Performance Evaluation: The Effect on the Propensity to Create Budgetary Slack

Abstract

This study used Monte Carlo simulation to analyze two previous studies. Noun’s examination of organizational commitment and job involvement’s association with budgetary slack, and Mia and Chenhall’s (1994) study on the association of broadscope managerial accounting systems on superior’s evaluation of managers in uncertain and certain environments were the studies that were examined. Regression analysis was used to examine the link between these two models.