JASHI MAE P.

SIÑEL
BSAIS 3A

1. Allocating funds and resources across departments is done through top-down

budgeting. A "if don't spend it, lose it" environment can result from departmental
buy-in being difficult owing to internal conflict and a lack of engagement. While
departments prepare budgets for their teams using bottom-up budgeting,
company-wide goals and expectations are provided along with the budgets for all
teams. In order to prioritize and justify spending, zero-based budgeting starts from
scratch. Bottom-up budgeting entails integrating smaller budgets into one that is
more coherent. This might need more time and money, as well as a more
sophisticated tool, and can be challenging to do. Over Budgeting may occur as a
result. The main downside of bottom-up budgeting is the potential for missing crucial
tasks.

2. Administrative fees are based primarily on the assumed relationship between

administrative costs and project length, where administrative costs increase
proportionally with project length. Or to put it another way, we predict that longer
projects will require more administrative resources. The growth of the project directly
correlates to the increase in administrative costs.

3. Highly probable risks are very likely to happen and have a good chance of
happening. The consequences of these risks might be minor or extremely serious.

Extremely serious risks classified as highly hazardous have very low to very high
probabilities of occurring but very significant consequences.

Highly vulnerable areas are deemed to it as highly sensitive when there exist risks that
are both extremely severe and highly probable.