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What are some problems that might arise that could impact the budget? Unrealistic assumptions when budgeting may lead to failure in budgeting.Change in economic conditions may lender the budget unrealistic.Inadequate resources may lead the budget hard to achieveQuestion (D):Why would Global Green Books set aside contingencies? How wouldneeded rework, if caught in the quality reviews, be accounted for in the budget? Global Green Book Publisher should set aside contingencies during budgeting for Catering additionalcosts or unexpected costs during budgeting process. When the budget exceed the estimates, moresources of cash should be sorted or the budget should be reduced to fit the estimates.Question (E):What are the main cost drivers of this project? Direct hours workedPermission neededInspection costsScanners installing costsSelling of the booksmarketingNumber of orders processedMachine hoursmachine acquisitions
Question (E):What other information, if any, would you like to see included in the budget for this project? Why? Industry standards- industry standards should be considered in order to make the budget realisticnumber of books sold in order to determine the amount of sales commission and the total amount of salesPast budgets- this will help in predicting the futureHours for acquiring permission for the calculation of total direct permission cost.Number of permission in order to calculate total permission costsConclusion: