ACC 561 Week 5 Discussion Questions
DQ1 Explain the cycle of bias by lower-level managers and bias adjustment by upper-level managers that can spiral out of control resulting in meaningless budgets. What features should a budgetary system have to encourage managers to engage in goal-congruent behavior (managers select actions that maximize overall company profits)? Give examples of bias and how goal congruence has been achieved at your current or a past employer.
DQ2 Please respond to the following discussion question by replying to this thread. Your response should fully address all elements of the question and be a minimum of 200 to 300 words long. “A good control system places the blame for every unfavorable variance on someone in the organization. Without assigning blame, no one will take responsibility for cost control.” Do you agree? Explain why or why not.
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