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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

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

View solution

Q. What is the purpose of the periodical review of the budget in insurance companies?

View solution

Q. Why is budgetary control considered essential for insurance companies?

View solution

Q. What is the purpose of adopting a budgetary control mechanism in insurance companies?

View solution

Q. What is the first step towards the introduction and implementation of a budgetary control system?

View solution

Q. What does an organization chart define?

View solution