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Verybest's executive management team
It has been brought to the attention of Verybest'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:
Evaluate the relationships between departmental and total facilities budgets.Explain the business transactions that occur in an organization budget.Describe the budget cycle, the decision problems, and decision rules that may affect the relationships between the department and total facility.
* 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.
* Explain what factors you used in making your decisions and the purpose of each selection.
Objective: Explain the relationship between departmental and total facility budgets.
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