Participative budgets- budgetary styles, Managerial Accounting

Assignment Help:

Participative Budgets

In this approach to budgeting, budgets are developed by lower level managers who then submit them to their superiors. The budgets depend on the lower level manager perception of what is achievable and the associated necessary resources. The degree to which lower level managers are allowed to participate in the budgeting process depends on:

(a) Senior manager’s awareness of participatory budgeting advantages.
(b) Their agreement with those advantages.

Participatory budgets are effective in the following areas:

  1. In a well established organization
  2. In a very large business
  3. During periods of economic boom
  4. Whenever operational managers have strong budgeting proficiencies
  5. When the organization’s different units act autonomously

Related Discussions:- Participative budgets- budgetary styles

Recognition of the organization''s decision, Recognition of the Organizatio...

Recognition of the Organization's Decision Units and Decision Packages ZBB decision unit is an operating division for which decision packages are generated and analyzed. It ca

CH 7, Hickory Company manufactures two products—14,000 units of Product Y a...

Hickory Company manufactures two products—14,000 units of Product Y and 6,000 units of Product Z. The company uses a plantwide overhead rate based on direct labor-hours. It is cons

Account analysis-high low method-cost estimation method, Account analysis (...

Account analysis (Inspection of accounts) method: This method requires that departmental managers and the accountant inspect each item of expenditure within the accounts for s

Linear Programming, Explain with examples five areas where linear programmi...

Explain with examples five areas where linear programming can be applied in Managerial accounting

Monitoring receivables, A firm requires continuously monitoring and control...

A firm requires continuously monitoring and controlling its receivables to make sure that the dues are paid on the due date and no dues stay outstanding for a long period of time.

Research and writing assignment, Write a response to your boss, the control...

Write a response to your boss, the controller. The response should be 2-5 pages in length (double-space). Your response to the controller should include, but not be limited to, t

Zero based budgeting, areas where zero based budgeting can be effectively u...

areas where zero based budgeting can be effectively used?

Cash and treasury management, Cash is a significant current asset for the o...

Cash is a significant current asset for the operations of business. Cash is the fundamental input that maintains business running smoothly and continuously. In excess of cash and l

Break even Analysis, I am part of a marketing group, and we are working on ...

I am part of a marketing group, and we are working on a project for a local cable company,they currently serve 3,200 customers and sell 50 wireless boxes a month,what I need to do

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