Question 2

Tracking budget and expenditure variance represents an important aspect in monitoring and tracking progress in delivery.

ITEM / THEME	BUDGET	Planned Monthly spent	Actual Monthly spent	Monthly Variance	Monthly Variance %
Economic Growth & Job Creation	R23 320 611	R2 225 000	R1 308 863	R -916 137	-41.1%

1. Interpret the data that is given in the table above, explaining what it means to a layman. (15 mark)
2. Using the information from your analysis above, can you devise a plan or strategy for an efficient and effective use of resources? Explain your reasoning.(10 marks)
3. Most municipalities have challenges with credit and collection households, businesses and government. In your opinion, what are the major issues with the credit or collection policy in municipalities when it pertains to these three constituencies? Explain your reasoning.(15 marks)