Management Control Tools and Audit Procedures
Classified in Mathematics
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Management Control Instruments
Planning
Establishes lines of action and responsibility within a company's organization to achieve goals. This is executed through programs and embodied in the budget applicable to each program.
Budget
Determines objectives more precisely, specifying amounts and responsible parties. The budget, when applied to the immediate future, is known as operational planning. It is typically performed for a period of days or weeks, using fully quantitative variables and involving the direct participation of each department.
Causes of Deviations
Deviation Definition
A deviation is the difference that arises when comparing expected (planned or budgeted) data with actual results.
Sources of Deviations
- Errors in environmental estimates: