Suppose a friend asks you to help her prepare a budget for the next semester.

REQUIRED

A. Assuming that you followed a process similar to that presented in this chapter, which budgets would you help your friend prepare? Explain your choices.

B. Create a list of information needed to complete the various budgets. Identify which pieces of information need to be estimated.

C. Create a list of the assumptions your friend will need to make for estimating the necessary information.

D. How should your friend monitor her budget performance throughout the semester? Write an explanation that your friend, who is not familiar with accounting, will understand.