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Each October, the accounting department sent to the branch managers and to other managers who were in charge of selling departments a detailed record of the actual expenses of their department for the preceding year and for the current year- to- date.
2. Guided by this record, by estimates of the succeeding year's sales, and by their judgment, these department heads drew up and submitted estimates of the expenses for their departments for the succeeding year.
3. The estimates made by the branch managers were then sent to the sales manager, who was in charge of all branch sales. He determined whether or not they were reasonable and cleared up any questionable items by correspondence...
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