Answered step by step
Verified Expert Solution
Question
1 Approved Answer
2a) Lisa James is a sales manager at Sydney Manufacturing Ltd. She believes that the sales revenue will most likely be $5,000,000 in 2022. However,
2a) Lisa James is a sales manager at Sydney Manufacturing Ltd. She believes that the sales revenue will most likely be $5,000,000 in 2022. However, she decides to build in a budget slack of 10 per cent. Required (5 points) 2a-i) Compute the amount of sales revenue Lisa included in the budget. Show your workings clearly. (2 points) 2a-ii) Explain how budgetary slack can have negative consequences for firms such as Sydney Manufacturing Ltd. (3 points)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started