Introduction
Harness the power of budgets to solve problems
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What you need to know
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1. The Budgeting Process in Organizations
How does budgeting affect people?
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The budgeting process
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Behavioral considerations in budgeting
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Involving people in the budgeting process
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2. Budgeting in Manufacturing Firms
Hong Kong and the typhoon border shutdown
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The master budget
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Master budget exercise: The sales budget
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Factors to consider in your sales budget
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Closer look at our sample sales budget
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Master budget exercise: The production budget
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Master budget exercise: The direct materials budget
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Tips on maintaining accounts payable on raw materials
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Master budget exercise: The direct labor budget
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Master budget exercise: The manufacturing overhead budget
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The SG&A budget
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What a master budget can tell you about your business
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3. Budgeting in Merchandising and Service Firms
Do we have enough motherboards?
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Budgeting for merchandising firms
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Merchandising firms purchases budget
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Developing a sales budget for a service firm
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Sales budget example for a service firm
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Supplies and labor budget example for a service firm
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Overhead and SG&A budget example for a service firm
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Completing the cash budget
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4. Cash Flow Budgeting
Living from paycheck to paycheck
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Cash receipts and payments
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Financing
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5. Flexible Budgeting
Using the right benchmark
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Weakness with static budgeting
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Using the flexible budget
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Conclusion
The next steps to grow your budgeting skills
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Glossary_Accounting_Budgeting.zip
(100 KB)