Guideline of ideas to have within the paper.

• What is budget?
• What is budgetary control?
• Discuss some of the benefits to be gained from budgeting
• What is meant by the term “responsibility accounting”?
• What is a master budget? Briefly describe its contents.
• Why is the sales forecast the starting point in budgeting?
• “As a practical matter, planning and control mean exactly the same thing.” – Do you agree? Please explain.
• Why is it a good idea to create a “Budgeting Assumptions” tab when creating a master budget in Microsoft Excel?
• What is self-imposed budget? What are the major advantages of self-imposed budgets? What caution must be exercised in their use?
• How can budgeting assist a company in planning its workforce staffing levels?
• “The principal purpose of the cash budget is to see how much cash the company will have in the bank at the end of the year.” Do you agree? Please explain.

Answer rating: 100% (QA)

What is budget A budget is a financial plan for a defined period often one year It may also include planned sales volumes and revenues resource quantities costs and expenses assets liabilities and cas... View the full answer