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A budget is a work plan expressed in quantitative terms listing all the expenditure and revenue that an entity expects to incur and obtain in a specified future period (normally 12 months). It is prepared to assist an entity meet its strategic objectives by giving priority to the laid objectives and projections that a company wishes to achieve at a given period in time. It expresses strategic plans of business units, organizations, activities or events in measurable terms. A budget is an organizational plan stated in monetary terms.
Elements of a good budget
- A comprehensive and coordinated plan of action
- A plan for the firm's operations and resources
- Based on objectives to be attained
- It is related to specific future period
- Expressed in financial and/or physical units.
NatalieR answered the question on June 17, 2022 at 09:54
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