1) A community pharmacy manager is evaluating their budget for the coming fiscal year. They decide to subscribe to a new Electronic Medical Record (EMR) service in order to be able to document and share e-Care plans with other providers. This will optimize the medication therapy management service at their pharmacy. In turn, the pharmacy will be reducing expenditures on vaccines by only ordering multi-dose vials in order to dedicate more funding to the new EMR. What purpose of budgeting systems is being fulfilled by making this decision? a) Allocating resources b) Controlling profit and operations c) Facilitating communication and coordination d) Evaluating performance and providing incentives

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter13: The Balanced Scorecard: Strategic-based Control
Section: Chapter Questions
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1) A community pharmacy manager is evaluating their budget for the coming fiscal year. They decide to subscribe to a new Electronic Medical Record (EMR) service in order to be able to document and share e-Care plans with other providers. This will optimize the medication therapy management service at their pharmacy. In turn, the pharmacy will be reducing expenditures on vaccines by only ordering multi-dose vials in order to dedicate more funding to the new EMR.

What purpose of budgeting systems is being fulfilled by making this decision?

a) Allocating resources

b) Controlling profit and operations

c) Facilitating communication and coordination

d) Evaluating performance and providing incentives

 

2) Which prospective budget is the most critical in ensuring the accuracy of the entire master budget?

a) Inventory budget

b) Sales revenue budget

c) Cash budget

d) Operational budget

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