[GO TO THE MAIN PAGE ON ALL ARTICLES ON BUDGETING] Here,in this Part 6, we learn the following key features of a budgetary control systems: Setting attainable objectives; Assigning executive responsibility; Planning the activities to achieve the objectives; Comparing actual results against the plan; Taking corrective actions and Reviewing and revising plans in the light [...]
Continue reading about Key Features Of A Budgetary Control System(Part6)
[ GO TO THE MAIN PAGE FOR ALL ARTICLES ON BUDGETING] Let’s learn how to differentiate between budget and budgetary control. A Budget Is a predetermined statement of a company’s objectives during a period of time. The budget is like a plan which guides the managers who are responsible for achieving certain business objectives. The [...]
Continue reading about Difference Between Budget & Budgetary Control(Part5)
[ GO TO THE MAIN PAGE ON ALL ARTICLES ON BUDGETING] In this Part 4, we are introduced to the Steps involved in preparing the budget. The steps are: (1) Select a budget period: The length of the budget period depends on the kind of plan being made. Some budget periods will follow the natural [...]
Continue reading about The Steps Involved In Budgeting(Part4)
[GO TO THE MAIN PAGE FOR ALL ARTICLES ON BUDGETING] In this Part 3, we can understand some of critical key factors or processes in order to successfully establishment a budget. The Key Factors/Processes For The Successful Establishment Of Budgets: There should a clear effective communication of the company’s objectives and strategy to those responsible [...]
Continue reading about The Key Success Factors For Budgeting(Part3)
[GO TO THE MAIN PAGE FOR ALL ARTICLES ON BUDGETING] In earlier article, we have discussed the the objectives of budgeting(Part1) next we need to look at some of the benefits and limitation of budgeting. In this Part 2, append below are the benefits that may accrue from budgeting and then what can be its [...]
Continue reading about Benefits & Limitation Of Budgeting(Part2)
[GO TO THE MAIN PAGE ON ALL ARTICLES ON BUDGETING] Before, the managers can embark on the preparation of budget, they should at least understand what are the purpose(s) or objectives(s) of budgeting. In this Part 1, tabulate below some of the main objectives of budgeting:- The Objectives Of Budgeting are as follows:- Budget provides [...]
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