Answer:
Consider the following explanation
Explanation:
Mentioned below benefits we can obtain from a effectively managed budget:
- Budget compels and motivates management to make an early and timely study of its problems. It generates a sense of caution and care, and adequate study among managers before decisions are made by them.
- Budget provides a valuable means of controlling income and expenditure of a business as it is a “plan for spending.”
- Budget provides a tool through which managerial policies and goals are periodically evaluated, tested and established as guidelines for the entire organization.
- Budget helps in directing capital and other resources into the most profitable channels.
- Budget enables management to decentralize responsibility without losing control of the business. It reveals weaknesses, inefficiencies, deviations in the organization very promptly which can be checked immediately to achieve a desired goal.
In Contrast there are below demerits an organization will suffer for budget if the budget is not accomplished effectively:
- Planning, Budget or forecasting is not an exact science; it uses approximations and judgment which may not be fully accurate. At best, a budget is an estimate; no one knows precisely what will happen in the future.
- The success and utility of Budget depends on the cooperation and participation of all members of management. All persons should direct their efforts according to the plan. The top management also should adhere to the budget and provide cooperation. Many a time Budget has failed because executive management has paid only lip service to its execution.
- A budget is only a tool and neither eliminates nor takes over the place of management. A budget cannot be substituted for management but should only be used by management for accomplishing managerial functions. Executives generally feel “circled in” by a budget and its related figures. They fail to understand that budget is meant to provide detailed information, goals and targets which may help them in achieving the company objectives
- The establishment of a Budget process took time. Also, sometimes too much is expected from a budget and in case expectations are not fulfilled, the blame is put on the budget. An efficient Budget programme requires that responsible persons should understand the philosophy, objectives and essentials of Budget.
- Excessive emphasis on Budget may result in attempts by lower level management and employees to buck the system by providing inaccurate estimates of future costs and revenues, and by failing to take advantage of changes in the environment because to do so would result in a deviation from plan, they would be considered as operating contrary to the budget. Under an unbalanced budget programme, employees will tend to overestimate costs and underestimate revenues, thus creating budget slack.
Answer:
a. project A; because its NPV is about $335 more than the NPV of project B.
Explanation:
As in the question it is mentioned that the required rate of return for project A and project B is 11.25% and 10.75% respectively.
Here we have to determined the net present value for both projects having different required rate of return
So based on the net present value the first option is correct as the project A is more than the project B
Therefore the first option should be accepted
<u>Answer:</u> HR professional
<u>Explanation:</u>
Human Resource professional is the person who assess the skills and abilities of the candidates that attends the interview process. The role of the HR professionals are recruiting, screening, interviewing and offering jobs.
Based on the requirements of the company the HR professionals carry out the selection process. On the completion of the recruitment process the HR professional tells the candidate that his skills and abilities are suitable for the position applied in the company. Once they are selected HR speaks about the compensation package for the job.
Answer:
Duty of care and oversight
Explanation:
Though the liability due to carelessness is waived off but the directors are liable for duty of care and duty of oversight of companies issues and they must act in the best interest of shareholders. This carelessness will result in heavy fines which the shareholders will have to bear. So the director is liable for his misconduct.
Answer: Direct production makes it easier for comapanies to keep track of their production.
Explanation:
