QUALITIES OF GOOD BUDGET
This document will get you understanding of best qualities of good budget within in an organization.
Department managers in a business make decisions every day that affect the profitability of the business. In order to make effective decisions and coordinate the decisions and actions of the various departments, a business needs to have a plan for its operations. Planning the financial operations of a business is called budgeting.
To prepare the budget one should be the responsible an dwell defined authority.
Budget should show the entire financial position of the organization in board details.
A good budget should have certain flexibility so its implementations can be made easy.
The information of budget which estimates should be reliable as much as possible.
A good budget should involve the assurance that the fiscal program as enacted and as intended. Budget is plan prepared for individual capital expenditure projects.
Different units in the company must also coordinate the many different tasks they perform
Once a budget is finalized, it is the plan for the operations of the organization. Managers have authority to spend within the budget and responsibility to achieve revenues specified within the budget.