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Assignment
It has been brought to the attention of Krona's executive management team that the department managers have not been held accountable for their individual department's budget, which has contributed to increased costs and reduced profits. You need to complete the following:
• Explain the steps of the budget-building process.
• Define flexible and static budgets.
• Describe the budget cycle, the decision problems, and the decision rules that may affect the relationships between the department and total facility.
Note: Emphasize the role that each department's input plays into the budget and how it relates to their use of the budget in managing costs.
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