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3 marksBudgets and Budgetary Control

CAPE Management of Business Unit 1 · 2013 · Paper 2 · Question 5(b)(ii)

State THREE reasons why it is important for Sugarary Producers to construct a budget.

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Other parts of this question

  1. 5(a)(i)Define the term 'variance'.[2 marks]
  2. 5(a)(ii)Calculate the variances for EACH department at Sugarary Producers Ltd.[3 marks]
  3. 5(a)(iii)State what EACH variance calculated in (a)(ii) indicates about the performance of the company.[3 marks]
  4. 5(b)(i)Define the term 'budget'.[2 marks]
  5. 5(c)Discuss THREE options that can be considered in order to improve the company's cash flow management.[12 marks]

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