How are budgets related to business plans, as described in Chapter 8?
Answer to relevant QuestionsIs there any advantage to making a series of budget schedules, rather than just producing a pro forma income statement and balance sheet? What are the advantages, if any? Which of the three types of accounting is most important to small business? Which is the least? Why do you think so? Why do you have to give up more ownership to get outside investment if your business is risky? What did Dr. Moyer mean when she said “…we've not raised a penny, at least not at a price we're willing to pay!”? Discuss the advantages and disadvantages to each payback and ROI as analysis tools for making capital investment decisions. Which do you prefer, and why?
Post your question