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You are the manager of a variable hospital department and you just received your monthly budget results that state your salaries were higher and your supplies were lower than budgeted. Write a paper (750-1,000 words) that explains what factors you should consider when writing your variance report to your vice president. Your vice president expects her managers to write detailed variance reports that include all possibilities.
Include the relationships between variance reporting, interpreting variance report results, and actual results of performance
Objectives:
1. Describe the manager’s role in producing an operating budget.
2. Identify and describe the components of operating budgets and the different approaches used in the production of a budget.
3. Explain the relationships between variance reporting, interpreting variance reporting results, and actual results of performance.
4. Explain the relationship between the policies dictated by organizational governing bodies and levels of authorization for expenditures.
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