Assume You Have Been Assigned to a Team Responsible for Using

question 79

Essay

Assume you have been assigned to a team responsible for using the flexible budget to assist in determining managers' bonuses.When you approach the production manager about some variances,he says,"I don't know why your team can't just use the budget we developed at the beginning of the year.It was based on last year's actual numbers which seems reasonable.I don't understand this 'flexible budget' stuff.When I compare my actual results with our beginning of the year budget I have beat the budget,so that should be sufficient.That will save us all a lot of time and effort." Explain to the sales manager why a flexible budget is better than a static budget and its use in evaluating performance.

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Definitions:

Placebos

Inert substances or treatments used in controlled experiments to test the effectiveness of medical interventions.

Conventional Antipsychotic

Conventional Antipsychotic refers to the first generation of antipsychotic drugs used primarily to treat schizophrenia and bipolar disorder.

Parkinsonian Symptoms

Symptoms similar to those found in Parkinson’s disease. Patients with schizophrenia who take antipsychotic medications may display one or more of these symptoms.

Auditory Hallucinations

The experience of hearing sounds or voices that do not have an external source, often associated with mental health disorders like schizophrenia.