Goals and Objectives of a Business Organisation


- Goals and objectives are the foundation of a business organisation's strategic planning process.
- They outline the desired outcomes and direction of the organization.


- Goals are the broad, long-term aims that a business wants to achieve.
- They provide a sense of purpose and direction for the organization.
- Goals are generally qualitative and may not be easily measurable.
- They are focused on the overall success and growth of the business.


- Broad and general statements
- Long-term in nature
- Focus on the desired end result
- Not easily measurable


- Objectives are the specific, measurable targets that a business sets to achieve its goals.
- They break down the goals into smaller, actionable steps.
- Objectives are more specific and time-bound compared to goals.
- They are quantifiable and allow for tracking progress and performance.


- Specific and measurable targets
- Short-term in nature
- Focus on the actions required to achieve the goals
- Easily measurable and quantifiable


- Goals and objectives are interrelated and work together to guide the organization's strategic planning.
- Goals set the direction and purpose, while objectives define the actionable steps to achieve those goals.
- Objectives serve as the building blocks that lead to the accomplishment of goals.


- Goal: Increase market share by 10% in the next three years.
- Objectives:
- Increase advertising budget by 20% to reach a wider audience.
- Launch two new products in the target market within six months.
- Improve customer satisfaction rating by 15% through enhanced customer service.

Depreciation (Part - 1)


- Depreciation refers to the systematic allocation of the cost of a tangible asset over its useful life.
- It represents the decrease in the value of an asset due to wear and tear, obsolescence, or any other factors.


- Financial Reporting: Depreciation is recorded in the financial statements to reflect the decrease in the value of assets over time.
- Taxation: Depreciation expenses can be deducted from taxable income, reducing the tax liability of the business.
- Cost Allocation: Depreciation helps in allocating the cost of an asset over its useful life, matching expenses with revenues.
- Asset Replacement: Depreciation provides funds for replacing assets when they become obsolete or worn out.


- Straight-line Method: Allocates an equal amount of depreciation expense over the useful life of the asset.
- Diminishing Balance Method: Charges a higher depreciation expense in the early years and reduces it as the asset ages.
- Annuity Method: Calculates depreciation based on the present value of cash flows associated with the asset.


- Useful Life: The estimated time period over which the asset is expected to generate economic benefits.
- Salvage Value: The estimated residual value of the asset at the end of its useful life.
- Method