Reference no: EM132974091

The Dove Driftwood Company has decided to that it needs to use the budgeting process much more substantially to manage its activities. You are a graduate trainee who has just started work in the accounting department of Dove. In your degree studies, you completed a module called Managerial Finance and learned that budgets serve a number of useful purposes including:

(i) Planning annual operations;
(ii) Coordinating the activities of the various parts of the organisation;
(iii) Communicating plans to the various responsibility centre managers;
(iv) Motivating managers to strive to achieve the organisational goals;
(v) Controlling activities;
(vi) Evaluating the performance of managers

Problem 1: You are asked to select four of these purposes and explain in a presentation to your Dove work colleagues about how budgets achieve these aims.