Q. What is one of the objectives of the Budgetary Control System?

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Q. Why is proper and judicious allocation of limited resources important in the context of the Budgetary Control System?

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Q. What does the Budgetary Control System compel management to do regarding the future of the organization?

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Q. What is the purpose of providing control by comparisons of actual results against budget plans?

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Q. How does the Budgetary Control System motivate employees?

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Q. What is one of the limitations regarding the adequacy of the Budgetary Control System?

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Q. Why is it difficult to make all budget plans accommodate and adapt to changes in business conditions and environments?

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Q. What is a challenge in the preparation of budgets?

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Q. Why is the implementation of the budgetary control system limited in small concerns?

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Q. What is the role of the organization chart in the implementation of a sound system of budgetary control?

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Q. Why is participation important in the implementation of the budgetary control system?

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Q. What does the comprehensiveness of the budgetary control system involve?

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Q. Why is flexibility essential in a sound system of budgetary control?

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Q. What is the first step in the budgetary control system in insurance business?

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Q. How are annual budgets/targets set for various departments in insurance business?

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Q. What is the significance of setting annual budgets/targets of ICR (Incurred Claim Ratio) in insurance business?

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Q. What is the purpose of setting annual budgets/targets of distribution expenses in insurance business?

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Q. How often is the performance reviewed in the budgetary control system?

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Q. In addition to yearly budgets, for which other periods are budgets prepared?

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Q. What factors are taken into account while preparing budgets in insurance companies?

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