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Which is the best definition of a budget?
Budget A budget is a detailed plan of operations that is predetermined for a particular period. Budgets are quantitative or financial statements prepared for the purpose of attaining a particular objective.
What are the advantages and disadvantages of budgeting?
Another advantage is control and evaluation. It helps to think about how to correct company’s problems, if they have them. Motivation is another important advantage. Budget can motivate to reach the goals. It also can force managers to think and plan for the future.
How is a budget prepared for a company?
The budgets are usually prepared for the following financial years (budget period), and are usually broken down into shorter time periods in order to emphasize on the figures and their attainment/fulfillment. The periods are usually monthly or quarterly, determined based on the level of activities and its operations.
What is the purpose of a budgeting essay?
Budgeting Essay. Budget is the major financial and economic statement. The role of the budget is to keep track of the money coming in and the money going out. It is essential part of running any business effectively.
Last Update: Oct 2021
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