Healthcare Finance Assignment Example | Topics and Well Written Essays - 250 words - 1

Healthcare Finance - engagement ExampleThis saves time and resources dedicated to budgeting (Shim, Siegel & Shim, 2012).Top-down approach excessively minimizes unnecessary spending by the versatile departments and helps streamline an organizations accounting processes. This further helps an organization to stay financially firm magic spell avoiding cost overruns. This is unlike the bottom up approach where departments make their own budgets and pass them to the upper executives. The study risk that comes with this approach is the possibility of experiencing cost overruns, which can be financially damaging (Shim, Siegel & Shim, 2012). By exit the responsibility of budgeting to the upper management, chances of costs overruns are greatly reduced.A top-down approach can also be used to help departments know what is expected of them. Each department is allocated a budget check to the expectations of the organization on that department. This is ideal in a situation where an organiza tion wants to reduce on its