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Why is budgeting important to an organization


QUESTIONS:

1. Discuss the similarities and differences between static and flexible Budgeting and Capital budgeting.

2. Why is budgeting important to an organization?

3. Discuss the similarities and differences between annual Budgeting and Capital budgeting. Why is the issue of TVM important, what causes the value of money to "change" over time?

4. What is NPV, IRR, etc.?

5. How do you calculate NPV?

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Accounting Basics: Why is budgeting important to an organization
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