Participative budgeting, Corporate Finance

Assignment Help:

You are required to provide an essay or report of approx 500 words or less (excluding attachments and references),  accompanied by relevant calculations, in MS Word orPDF format accompanied by the Relevant Coversheet (provided). The style of your essay or report is not important provided your ideas, arguments and/or recommendations etc are clear and understandable and properly referenced using a accepted reference technique.

An effective budget converts the goals and objectives of an organization into data. The budget serves as a blueprint for management's plans. The budget is also the basis for control. Management performance can be evaluated by comparing actual results with the budget.

Thus, creating the budget is essential for the successful operation of an organization. Finding the resources to implement the budget - that is, moving from a starting point to the ultimate goal - requires the extensive use of human resources. How managers perceive their roles in the process of budgeting is important to the successful use of the budget as an effective tool for planning, communicating, and controlling.
 
Required:

Discuss the behavioural implications of planning and control when a company's management employs:

  • An imposed budgetary approach
  • A participative budgetary approach

 

Illustrate your discussion with reference to your report to Paulo Farmer in Part C, discussing how Paulo might respond to the various outcomes of Part C if the budget had been imposed and contrast that with how he might respond (if differently) had the budget been prepared using a participative budgetary approach.


Related Discussions:- Participative budgeting

Capital Budgeting, Suppose that Oxford Inc. is interested in the two new pr...

Suppose that Oxford Inc. is interested in the two new products, AME and CGK. Because of its capital budget constraint, it can only launch one new product line. Eric just graduated

Prepare a quarterly cash budget, You are the Executive Director for the bra...

You are the Executive Director for the brand new Burkina Faso field office of a U.S.- based not-for-profit organization called Paper for All that distributes academic resources fo

Mmtheory, the departure from Modigliani-Miller proposition using the agency...

the departure from Modigliani-Miller proposition using the agency cost and information asymmetry theory of capital structure

Dividend policies, discuss advantages and disadvantages of alternative divi...

discuss advantages and disadvantages of alternative dividend polices,ieno dividend pay out for the pst five years,dividend of 50% of earnings paid out,a low but constant dividend p

Prepare a basic master budget, The first part requires you to prepare a bas...

The first part requires you to prepare a basic master budget. The general description is provided in Part A, in this document. However the data for the assignment is to be obtained

Efficiency, differentiate between allocative efficiency and pricing efficie...

differentiate between allocative efficiency and pricing efficiency.

Capital Structure, A leveraged recap, in which Midco would issue debt and u...

A leveraged recap, in which Midco would issue debt and use the proceeds to repurchase shares. A Midco industry has 20 million shares outstanding with market price of $15 per share

Replacement decision, Baobab rolling mills owns a lathe machine which was p...

Baobab rolling mills owns a lathe machine which was purchased 10years ago at sh. 75 million. The machine had an expected life of 15 yrs at the time it was purchased, and management

Find net payment of the company, a)    Black Corp. currently has $65 millio...

a)    Black Corp. currently has $65 million worth of floating rate debts carried at an average rate of LIBOR + 2.6% that it would like to hedge against rising interest rates withou

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd