Discuss the differences between efficiency and effectiveness.
Chapter: Management Control Process
LEARNING OBJECTIVES
After studying this chapter, you should be able to do the following:
• 1. Define a budget and describe how management uses them.
• 2. Explain the concept of management control and how budgeting is used as part of it.
• 3. List sources of differences between budgeted and actual amounts.
• 4. Explain the budgeting process.
• 5. List the major types of budgets and describe how they are used.
• 6. Describe the concept of zero-base budgeting.
• 7. Explain how benchmarking is performed at the department level.