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Most every firm has a budget. In many cases, however, firms use them inappropriately. In extreme cases, the way the budget is used by the firm might actually encourage incorrect decisions. In this discussion, you will get a better feel for how to appropriately use budgets as a guide.
Explain why budgeting is important for a firm. Do you think that a firm’s budget should ever be violated (exceeded)? Explain your rationale.

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