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You have recently accepted a position as a manager with Athletic Academy. At a recent managers ...

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You have recently accepted a position as a manager with Athletic Academy. At a recent managers ...

You have recently accepted a position as a manager with Athletic Academy. At a recent managers meeting, the controller asked for input on how to make the budgeting process more effective. Specifically, the controller indicated that the employees did not seem to be committed to the budget during the previous period. Unfortunately, none of the managers reached their targeted sales projections for the previous period.

Required:

Explain to the other managers what method the company apparently used in the previous period and why the method created the lack of commitment. Also discuss flaws if the alternative approach to budgeting is used.

Textbook

Managerial Accounting

Edition: 4^th

Author: Davis

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