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Jordan Managment Accounting 51

Jordan Managment Accounting 51

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Published by Ace Rividi

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Published by: Ace Rividi on Sep 14, 2010
Copyright:Attribution Non-commercial

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09/21/2012

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Profit Planning
 
Learning Objective 1
Understand whyUnderstand whyorganizations budget andorganizations budget andthe processes they use tothe processes they use tocreate budgets.create budgets.
 
T
he Basic Framework of Budgeting
 A
bud
get
is a detailed quantitative plan for acquiring and using financial and other resourcesover a specified forthcoming time period.1.
T
he act of preparing a budget is called
bud
geting
.2.
T
he use of budgets to control anorganization¶s activity is known as
bud
getary control
.

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