Any topic (writer’s choice)
Your replies must be in response to student’s who based their thread on a different prompt. 2 scholarly sources and a bible quote for each. each reply 250 words.
Reply 1:
Zero based budgeting is an approach to budgeting that regularly questions the need for existing programs as well as their level of funding and the new programs, but primarily focuses on the existing programs. The zero based budget is made from scratch and every dollar must be accounted for based on the strategic goal of the company. It has gained the name as management’s most effective cost-containment tool, but it has also gained the name as the biggest hoax of the century. It looks at the entire budget and determines the efficacy of the entire expenditure. Some people suggest that a zero-based review should be done every 5 years. This budget keeps you aware of how much money you have that way you aren’t spending money that you do not have. 1 Corinthians 16:2 states, “On the first day of every week, each of you is to put something aside and store it up, as he may prosper, so that there will be no collecting when I come.” Even in the bible it speaks about us budgeting and how it will help us prosper. When the word of God tells us what we need to do, we are more able to clearly see how we are to live accordingly to him.
reply 2:
“The cost of a product changes with the level of activity and output. The cost behavior is influences by a departments classification of cost. This provides a basis for categorizing of costs as direct or indirect. The 5 major categories of costs are classified by their relationship to output.
Variable
Fixed
Semi-fixed or step fixed
Semi-variable
Curvilinear
Variable costs change as the output changes in a constant manner. Example: if the output is increases by 10% that costs should increase by 10%. Fixed costs do not change by the change in volume. Fixed cost remain the same whether goods or services are produced or not. Fixed cost examples are rent payments, utilities, insurance. Semi-Fixed cost is a cost that contains fixed and variable elements. The minimum cost level that will be experienced is greater than then and once a certain activity level is surpassed the cost will begin to increase beyond the base level. Since the variable component of the cost has been triggered. The cost remains the same until a certain activity threshold is exceeded and then the cost increases. An example of semi-fixed cost is a salesperson. This person earns a fixed amount of compensation (salary) plus the variable amount (commission) in the end the salesperson is semi-fixed. Semi-variable uses the same elements of both fixed and variable costs. Utility cost are a good example of this. There may be some fixed requirements per unit of time regardless of volume. A curvilinear cost is an expense that increases at an inconsistent rate as production volume increases. This is an irregular cost that increases at different rates as total output increases.”
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