What is an Actual Budget Definition? A budget is a representation of the future revenues, expenses, cash flow and financial position that management expects to achieve for a certain time period such as a quarter or a year. Common types of budgets include a capital budget, an operating budget...
Definition: A budget is a formal statement of estimated income and expenses based on future plans and objectives. In other words, a budget is a document that management makes to estimate the revenues and expenses for an upcoming period based on their goals for the business.What...
Usually, budgets for businesses or departments are created for an accounting period, i.e., for one year. However, the period could be less or more than a year. Complete flexibility is there as the method remains the same, and the business can make or plan a budget for the period they ...
Once an expenditure budget is established, the company has an idea of the total revenue it needs to maintain or grow the business -- information essential to formulating effective business goals and operational plans. The budget should be evaluated regularly against actual business activity financials...
15. This chapter explains that investment can be increased both by reducing taxes on private saving and by reducing the government budget deficit. a. Why is it difficult to implement both of these policies at the same time 答: 政府支出不变的情况下,政府对私人储蓄减税会减少政府收入规模, 一定...
A budget is a financial plan that outlines an entity's expenses and income. Any entity with finances can make a budget, including individuals, businesses, nonprofits, and government agencies. A budget is an important aspect of a business plan....
An organization creates a sales forecast based on historical data by analyzing historical trends. This is the number of units they anticipate selling during the course of their budget term. Sales forecasts can look at the amount they anticipate an individual to sell, a team or the overall compan...
If the actual sales are $1,100,000 the budget for sales commissions will be $55,000. Related Questions What is a flexible budget variance? What is a rolling budget? What is a flexible budget? What is a static budget? What are the benefits of a revenue budget? What is the ...
is the enabling ofbudget versus "actual" performance comparisons. For example, if an individual has to dip into a savings reserve at the end of a month to pay a credit card bill, they could look at the annual budget items to find out where an actual expense exceeded a budgeted expense a...
The importance of budgeting cannot be understated. A budget, also known as cash flow, is arguably more important than the actual cash that you have in your bank and investment accounts. Your cash flow is what allows you to pay for everything (or not). Without knowing your cash flow, you...