Question 5

After attending a recent finance Webex seminar you were very concerned about the following statements made by the guest speaker:

Budgeting is a complete waste of business resources

Ratio analysis has so many limitations that it is a useless exercise

Accounting Rate of Return is the best investment appraisal technique

Forget cash. the shareholders want to see profit

You certainly disagree with the views of the guest speaker, but having only recently completed your module in accounting you lacked the confidence to argue in public with the speaker.

Required

: Explain why you disagreed with each of these statements. Maximum 50 words for each statement.