Budgets Preparation

Objectives:

·   Defining the concept of budgeting and its importance.

·   Applying tables in budgets preparation.

·   Discussing the role of budgets as a control tool.

Contents:

1-     Concepts and Importance of Budgets

·   Operational and planning budgets.

·   Budget preparation techniques.

2-     Table Preparation: Income Statement

·   Sales budget.

·   Production volume budget.

·   Inventory budget.

·   Wages and salaries budget.

·   Other expenses budget.

3-     Table Preparation: Financial Position Statement

·   Creditors and clients budget.

·   Debtors and suppliers budget.

·   Sales and purchase of fixed assets budgets.

4-     Table Preparation: Cash Flow Statement

·   Sales collection budget.

·   Inventory payment budget.

·   Wages and salaries payment budget.

·   Other expenses payment budget.

5-     Budgets as a Control Tool

·   Sales control.

·   Raw material control.

·   Wages and salaries control.

·   Other expenses control.