(Solution) - Our biggest customer had a fire in their plant torpedoing -(2025 Original AI-Free Solution)

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?Our biggest customer had a fire in their plant, torpedoing all of our sales projections. We will be lucky if we can come in at 80% of budget. Yet, Carrie refuses to adjust the budget, destroying my bonus and the sales morale. I pleaded with Carrie to give a little but she flat out refused and even threatened to replace me!? This outburst, from Jim Benjamin, neatly summarizes the current dispute at Simon and Company. Carrie Simon, the founder?s granddaughter, has been managing the business for over 15 years. Her hard-nosed approaches to budget targets and aggressive tactics have earned her the nickname ?Cutthroat Carrie.?
When you approach Carrie, she readily admits that the current targets are now unrealistic. Yet she says that making one revision will start the firm down a slippery slope where there is no accountability for estimates.

Required:
Evaluate the costs and benefits of revising budget targets.