Evaluate how a typical budgetary process is undertaken in a business organisation.
Q: Managers should be closely involved in preparing their responsibility accounting budget. How true is…
A: Generally, managers should be involved in preparing their responsibility accounting budget.
Q: Identify at least three benefits of budgeting in helping managers plan and control a business.
A: Budgeting in a business has benefits and consequences that go beyond the financial dimension and…
Q: How can budgeting assist a company in planning its workforce staffing levels?
A: Budget: Budget is an effective tool to achieve the financial and operational goals of the business.…
Q: Illustrate and explain budgeting as a managerial tool in government organizations to account for…
A: Managerial tools can be defined as those supportive business management tools which help the…
Q: Describe the importance of Budgeting in the Business
A: Budgeting entails planning in order to support an organization's planned goals. Every business must…
Q: Evaluate the importance of standard costing in budgeting process within firms
A: In Standard costing an expected cost is substituted above an actual cost, while recording accounting…
Q: How is the financial plan and budget related to a company’s strategic plan?
A: Strategic plans are long term action plans which direct a firm towards its goals. Financial plan and…
Q: What are the ethical provisions that needs to be followed in budgeting?
A: The process of allocating a company's financial resources is known as budgeting. Although necessity…
Q: What is the role of the Office of Management and Budget OMB?
A: Office of the Management and the Budget (OMB): This is the office which is part of the Executive…
Q: Which of the following is an example of the planning function of the budgeting process? A. A budget…
A: Budgeting process: The process of streamlining the future expenditure process by predicting or…
Q: For the purpose of effective budgetary control, it is imperative on the part of each entity to have…
A: Budget is a statement which reflects Future inflow as well as outflow of cash for a particular…
Q: interpret the importance budget in strategic and operational planning of the company
A:
Q: Describe your understanding of budgets, both fixed and flexible, in the context of controlling and…
A: Organizations produce budgets for a variety of purposes, including cost control, performance…
Q: Explain what you understand by Budgets, Fixed Budgets and Flexible Budgets in the context of control…
A: Companies prepare budgets for various reasons such as controlling costs, evaluating performance, or…
Q: [2] In the budgeting and planning process for a firm, which one of the following should be completed…
A: SOLUTION- STRATEGIC PLANNING IS A PROCESS IN WHICH ORGANIZATIONAL LEADERS DETERMINE THEIR VISION FOR…
Q: Why do the authors suggest that a thorough review of the firm’s chart of accounts, account…
A: The entire budgeting and planning exercise involves careful review and analysis of the revenues and…
Q: how budget process fits into management’s planning process?
A: Planning as well as budgeting are critical components of managerial control. Efficient planning and…
Q: How are standards used by management in evaluating organizational units, as to their budgetary…
A: A budget refers to the financial plan that is used by managers in order to estimate revenues and…
Q: Sales are often considered to be the principal budget factor of an organisation. Explain the meaning…
A: Sales budget presents the expected sales volume and sales value for the coming period.
Q: Discuss how the budgeting process in an organisation benefits a functioning standard costing system
A: The process of creating a budget is referred to as budgeting. This process involves budget planning…
Q: how budgeting is useful in managing businesses?
A: Budget: The forecast of transactions on the basis of the available resources for a particular period…
Q: A cash budget serves as a crucial guide in presenting information on the strength of an…
A: Organizational liquidity relates to an organization's speed, flexibility, scalability, acceleration,…
Q: How does budgeting help management coordinate and plan business activities?
A:
Q: Explain why it would be beneficial to prepare a cash forecast, or a cash budget, for an…
A: There are various reasons why cash forecast or cash budget is to be prepared. But the primary…
Q: Explain the role and limitations of budgeting in business organizations. Support your answer with…
A: The answer is stated below:
Q: Discuss how are budgets used to help organizations plan for future and how are budgets used for…
A: Budgeting is an important part of the business process. Without budgeting a business cannot track…
Q: Discuss the managerial accounting Explain Budgeting
A: Accounting means maintaining and analysing quantitative data to know the actual performance of the…
Q: Explain the specific roles of planning, motivation, communication, evaluation and control in a…
A: Budgetary control is an exercise undertaken by the organization/entity to ensure that the period…
Q: Identify five areas of Organisational policies and procedures that could be relevant when preparing…
A: The Budget is the estimation of future expenditure and income with the different level of sale or…
Q: Organizations rely on effective budgetary planning for successful financial performance. Explain how…
A: Budgeting: Budgeting is a process of estimating future income, expenses and cash flow for a future…
Q: Justify budgetary control solutions and their impact on organisational decision making to ensure…
A: Budgetary control is the control which is put in place by the company or the organization so that…
Q: the use of both cash flow forecasts and financial budgets to aid decision-making within an…
A: Uses of cash flow forecasts: Cash flow forecasts are helpful in determining the amount of money that…
Q: Why is a clear understanding of management’s goals and objectives necessary for effective budgets?
A: Budgeting is a process of planning future expenses and income so that an organization ensure the…
Q: The branch of accounting that helps in budgeting is called
A: The branch of accounting that helps in budgeting is called managerial accounting... Managerial…
Q: Describe the role of a budget director.
A:
Q: What justification you would give to the firms board of directors for creation and maintenance of…
A: Training and development is the process of educating the employees about the work and culture of…
Q: How is the management of any company taking many decisions to achieve the goals of different…
A: Every company will have an objective to increase the profits of the company. All the decisions taken…
Q: Explain the role of budget in management cycle?
A: Budget is the term which is defined as the financial plan for particular period, generally for one…
Q: How important is a purchases budget and how does it help managers run a company?
A: budget is prepared by the company in order to estimate the income and expenditure that is to be done…
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- What are some characteristics of performance-based budgeting? What are some advantages and disadvantages of performance-based budgeting? How does the organization you selected incorporate performance-based budgeting? If the organization you selected does not incorporate performance-based budgeting, how does the organization reflect or incorporate program outcomes to the budget? When responding to classmates, compare the organization you chose to theirs. Is one organization more successful at describing their strategic plan and aligning their budget to reflect outcomes? Why or why not?Which of the following is not considered a benefit of the budgeting process? a. Gives managers guidance when evaluating the performance of business operations. b. Determines the exact amount of revenues and expenses for the upcoming fiscal period. c. Helps managers achieve short-term and medium-term goals. d. Helps managers set long-term strategic plans.With one exception, the following objectives are accomplished by budgeting. Which of these statements is NOT true about budgeting objectives? Shows management's operating plans for the coming period. O Locks in company spending for the period. O Forces all levels of management to think ahead, anticipate results, and take action to remedy poor results. O Formalizes management's plans in quantitative terms.
- Management Accounting Question (Qualitative Short Answer) a. Why is the sales forecast the starting point in budgeting? b. What is a perpetual budget? c. Which is a better basis for evaluating actual results: budgeted performance or past performance? Why? d. The materials price variance can be computed at what two different points in time? Which point is better and why? e. What effect, if any, would you expect purchasing poor-quality materials to have on direct labor variances? f. Distinguish between ideal and practical standards. g. Costs associated with the quality of conformance can be broken down into four broad groups. What are these four groups and how do they differ? h. What is likely the most effective way to reduce a company's total quality costs? i. What are the three main uses of quality cost reports?You are in the process of creating your department's projected operating budget. As you create this budget, you realize that you are very uncertain about the volume of services you will be providing in the future. What tool(s) can you use to understand the impact of that uncertainty on your budget? O A. Ratio analysis O B. Varlance analysis O C. None of these O D. Sensitivity analysis O E. Scenario analysisWhich of the following is NOT true of the budgeting process? Question 8 options: Budgeting provides feedback to management to aid in assessing how well it's reaching its goals. Budgets force managers to plan for the future. Budgets force managers to consider relations among operations across the entire value chain. The performance report is prepared as part of the master budget.
- "budget performance is a better criterion than past performance for judging managers." Do you agree? ExpalinThe third task is a continuation of the study material which will teach the management trainees to evaluate how planning tools for accounting help to solve problems and support organisations with sustainable success (D3). This will include an explanation of the advantages and disadvantages of the budgetary tools by analysing of the use of different planning tools and their application for preparing and forecasting budgets (P4, M3). The study material will go onto look at how to respond to financial problems, and how management accounting can lead organisation to sustainable success (M4). This will include a comparison of how organisations are adapting management systems to respond to financial problemsWhich of the following is NOT an objective of the budgeting process? Group of answer choices a - To communicate management's plans throughout the entire organization b - To ensure that the company continues to grow. c - To uncover potential bottlenecks before they occur d - To provide a means of allocating resources to those parts of the organization where they can be used most effectively.
- CE Company reported the following information for 2022: Budgeted sales $1225000 . All sales are on credit. • Accounts receivable are collected 50% in the month of sale and 50% in the following month. What are budgeted cash receipts for November? $1310000 October November December $560000 $1120000 $1330000 $1120000 $1500000Which one of the following is not considered to be a benefit of participative budgeting? When managers set the final targets for the budget, top management need not be concerned with the overall profitability of current operations. Managers are more motivated to reach the budget goals because they participated in setting them. Individuals at all organizational levels are recognized as being part of the team; this results in greater support of the organization. The budget estimates are prepared by those in direct contact with various activities.1. Which of the following is an advantage of the budgeting process? a. It forces management to focus on the past and not be distracted by the day-to-day operations of the business. b. It can communicate to employees specific information about their past performance to determine their promotion prospects. c. It can communicate to employees specific information about their past performance to determine their promotion prospects. d. It can communicate to employees information about their performance expectations in the period ahead. 2. Which one of the following statements regarding changing inventory costing methods is true? a. A change in inventory methods can be justified if the change is made to better match profits with revenue b. Changing inventory costing methods violates comparability c. One place that the reader of an annual report would be able to identify that a company changed inventory costing methods is the statement of shareholders' equity d. Changing inventory costing…