Reference no: EM132177669

1. To what degree should supervisors be permitted to prepare budgets for their departments? What are the advantages and disadvantages of allowing employees to participate in the budget-making process?

2. Discuss the supervisor's duty to take appropriate action when accounting reports indicate that expenditures are significantly above or below budget allocations. How do effective supervisors reduce costs? Increase revenues?

3. After reviewing Figure 13.1, ponder the following statements:

• "It's OK to break the rules."
• "If in doubt, check with your boss."
• "Rules exist to make things work consistently, but when rules get in the way of meeting customer needs, it is appropriate to question the rule."
• "You should always be willing to take a risk!"
• "Celebrate your successes!"

Do you agree with the statements? Why or why not? Recall an instance where you followed each of these statements. Did the situation turn out OK? If not, why not?