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Good day sir.
Is the “control” in Budget objectives , somehow linked to management accounting control system?is the ‘control’ relate to the issues of responsibility accounting, like ‘controllability principle’?
i dont quite get this part.
besides, the ‘performance measurement’ is as well linked to the “control” part right sir?
for budgetary control, it provides a mean to compare actual and budget performance
but for performance measurement, it provides a mean to manager to indicate how well they have performed based on the “control” outcomeThank you Sir John.
I explain what is meant by ‘control’ in my free lectures on budgeting.
Being able to compare actual costs with budgeted costs (as in variance analysis) is a way of being able to exercise control over the costs.
That is an aspect of the management accounting control system.
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