(1) What is the difference between a flexible and a static budget? Why is a flexible budget more commonly used by companies than a static budget?
(2) What does it mean to have goal congruence to meet corporate goals? Why is goal congruence so important?
(3) There are three popular methods for determining advertising dollars for a budget. Please provide an example of how ONE of these three methods could be used for a company that manufactures shoes.
(4) What is qualitative forecasting? Describe one of the methods of qualitative forecasting.
(5) What is activity-based budgeting? What is an important step of activity-based budgeting?
(6) Describe the Delphi qualitative approach to forecasting. What is the advantage of this approach?
(7) What is the sales budget? Why is it important to prepare the sales budget first?