A business enterprise should keep a budget other than the other statements it keeps.Discuss reasons why this activity is important.

      

A business enterprise should keep a budget other than the other statements it
keeps.Discuss reasons why this activity is important.

  

Answers


sharon
-Business is done to compare the actual results with the budgeted plans.
-Aids in communication e.g. employees are fully aware of tasks to undertake within a certain period of time i.e. time budget.
-Increase efficiency as everyone want to accomplish what is expected of them.
-Evaluation of performance to know what was achieved according to the budget
and what was not and why.
-Avoid time and money wastage as each is accounted for at the end of the period.
-Know output of employees as each departments achievement are seen.

sharon kalunda answered the question on February 28, 2019 at 12:55


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