ACCA MA · Chapter 1 · Question 9 of 10
A production manager compares actual output and costs with the budget for the month and takes action to correct an overspend on materials. Which management function does this illustrate?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Control
Explanation
Control means monitoring actual performance against the plan (for example a budget) and taking corrective action where they differ. Planning sets the targets in advance, so comparing actual results with them and acting on the difference is control.
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