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Pros and cons of awarding managerial bonuses

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Discuss the pros and cons of awarding managerial bonuses based on budgeted cost targets. Specifically, what are some ways that the manager could ensure him or herself a bonus but skew your financial data?

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The expert discusses the pros and cons of awarding managerial bonuses based on budgeted cost targets.

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Giving bonuses to managers based on budgeted cost targets encourages these managers to keep within budget. However, a downside is that if an unforeseen, but necessary expenditure has to be made, it might not be made ...

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