Which of the following descriptions does not best illustrate the benefits of a formal budgeting proc

What is it that you want to ask that is not the benefit of designing a reasonable budgeting process? Ensure long-term profitability for your business.

The benefits of designing a well-budgeted process include providing a framework for performance evaluation, adequate communication within the organization, and helping to develop and implement a strategic plan, but do not ensure long-term profitability for the business.

The budget process is crudely lacking in CMA management accounting in China, which refers to the process used by an organization to prepare future plans, allocate resources, determine revenues and expenses, and prepare reports on the plan.

Answer]: C Knowledge points of this question: There are many tools and technologies for project cost management and budgeting, and there is no limit to one or the other.

Among the following items, the shortcomings of the fixed budget approach can be overcome by () the pre-hunger.

a.Fixed budget.

b.Flexible budgeting.

c.Rolling pre-wisdom suspicion return checker.

d.Zero-based budgeting.

Correct answer: B

Answer]: A is not the main role of the budget to reduce the business risk of the enterprise, so item A is incorrect. There are two main characteristics of the budget:

1.The purpose of the budget is to enable the business to achieve the predetermined goals in the most cost-effective way, therefore, the budget must be consistent with the strategy or goals of the business: 2

As a kind of quantitative detailed plan, the budget is a meticulous and careful arrangement of future activities, and is the basis for future business closure activities, and quantification and executability are the most important characteristics of the budget. Therefore, item b is correct. The functions of pre-calculation include:

1. The budget guides and controls economic activities through the car, so that the business operation can achieve the expected goals: 2Budgeting enables coordination between various departments within an enterprise; 3.

The budget can be used as a criterion for the performance of each target. Therefore, the cd term is correct.

Answer] :d Answer] d. Analysis: Quantification and executability are the most important features of budgets.

Answer]: A This question tests the knowledge of project cost management. According to Chapter 9 of the Reference System Integration Project Management Engineer (2nd Edition), the cost basis does not include the management reserve, but does include the contingency reserve. Tools & Techniques for Project Cost Budgeting:

1.Cost rollup.

The cost estimates for the planned activities are summarized into work packages based on the WBS, which then roll up to a higher level in the WBS (e.g., control accounts) to form a budget for the entire project. d correct.

2.Reserve analysis.

A contingency reserve is formed through reserve analysis, such as a management reserve, which is used to respond to changes that are not yet planned but may be needed. The management reserve is not included in the cost basis. A error.

3.Parameter estimation.

Parameter estimation techniques refer to the use of project characteristics (parameters) in a mathematical model to determine the overall project cost. The model can be simple (e.g., the cost of the dwelling, calculated at the cost per square meter of living area), or it can be complex (e.g., the software prepares the cost of the parameter estimation cocomo model, using 13 independent adjustment factors, each with 5 7 points; Another example is the function point method in software estimation, etc.). b correct.

4.Balance of funding limits.

For the operation of the project implementation organization, it is not desirable that the phased expenditure of funds often fluctuates significantly. As a result, the spending of funds is balanced within the boundaries of the expenditure of project funds set by the user or the executing organization. To balance expenditures, work schedules need to be adjusted, which can be achieved by imposing time constraints within the project schedule for specific work packages, schedule milestones, or work breakdown structure components.

The realignment of the schedule will affect the allocation of resources. If funds are used as a restricted resource during the programme development process, the process can be restarted in accordance with the new date constraints. The end result of this overlapping planning process is the cost baseline.