Ethics of Budgetting
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If a budget is misapplied or underutilized by an organization, what does that say about the organization's management and leadership? Why? In addition, what role does ethics play in relation to a company's overall budget?
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Solution Summary
A brief explanation of management and budgetting as a form of management control. It includes an explanation of the role of Ethics in making budget.
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Management in all business areas and organizational activities are the acts of getting people together to accomplish desired goals and objectives efficiently and effectively. Management comprises planning, organizing, staffing, leading or directing, and controlling an organization (a group of one or more people or entities) or effort for the purpose of accomplishing a goal.
One process of control is budgeting. Budget is an estimate, often itemized, of expected income and expense for a given period in the future. The main reason to create a budget is to help you keep finances under control by keeping track of how much money is spent and where it goes. When one begins to stray from the budget ...
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