2 paragraphs 3

First Paragraph:

Describe in your own words how manufacturing companies utilize forecasting tools to develop a master budget. Provide a real-world example (with sources cited) of this production budgeting in action. This may be related to a company implementing a new budgeting tool, changing its methodology, dealing with a change in its supply chain, etc. (note there are plenty of business news articles on this topic).

Second Paragraph:

Favorable standard cost variances are always good and unfavorable variances are always bad.

Discuss this statement. Do you agree or disagree? Provide an example to support your position.

 
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