A5 - AC101- Accounting Principles II BTN 23-3 Both the...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
AC101- Accounting Principles II BTN 23-3 Both the budget process and budgets themselves can impact management actions, both positively and negatively. For instance, a common practice among not-for-profit organizations and government agencies is for management to spend any amounts remaining in a budget at the end of the budget period, a practice often called “use it or lose it.” The view is that if a department manager does not spend the budgeted amount, top management will reduce next year’s budget by the amount not spent. To avoid losing budget dollars, department managers often spend all budgeted amounts regardless of the value added to products or services. All of us pay for the costs associated with the budget system. Write a one-half page report to a local not-for-profit organization or government agency offering a solution to the “use it or lose it” budgeting problem. When we look at the problem that has been occurring with our method of budgeting, we must consider a solution that will stop the remaining budgeting dollars
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 10/12/2008 for the course AC 102 taught by Professor Min during the Spring '08 term at Mt. Aloysius.

Page1 / 2

A5 - AC101- Accounting Principles II BTN 23-3 Both the...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online