Question

A management guideline that advises managers to commit funds for planning only if in the foreseeable future they can anticipate a return on planning expenses as a result of the long-range planning analysis is known as the ________.

Answer 1

Answer: commitment principle

Explanation: In simple words, it refers to the principle of management which states that managers should plan a project in way that the uses and sources of resources can be visualized for a certain period of time.

Following this principle helps the managers in decision making and operating the business activities more efficiently.