Final answer:
The correct answer is option d. Flora is engaged in the controlling function of management when she compares the actual revenues and expenses against the monthly budget. This function ensures organizational plans are being executed properly and goals are achieved by taking corrective action when necessary.
Step-by-step explanation:
When Flora is comparing the monthly budget to actual revenues and expenses, she is engaged in the controlling function. The controlling function of management involves measuring performance, comparing it to established standards (such as budgets, objectives, or benchmarks), and taking corrective action when necessary. It's a critical part of the management process because it ensures that the organization's plans are being followed and goals are being met.
Controlling is one of the four main functions of management, which also include planning, organizing, and directing or leading. It is often considered the final step in the management process, as it provides feedback for the organization that can be used to adjust planning and improve performance. For instance, if actual expenses are higher than budgeted, a manager might look into the reasons for the overspending and take steps to prevent it in the future. This process helps maintain financial stability and can lead to better-informed decision-making.