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These standards are set for the entire company, and individual sectors, such as international branches, usually set their own higher goals because they expect to exceed the norms. Headquarters send out budget instructions mid-year with all the financial information from January through June. It is the operating manager’s job to prepare a forecast for the remaining period of the year, and also construct a budget for the following year. In order to compose the budget, managers begin by examining the projections from each major account relationships, and hold discussions about those accounts until the account relationship projections add up to coincide with the desired profit bottom line...
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