Budgeting & Accounting

Budgeting is a process. This means budgeting is a number of activities performed in order to prepare a budget. A budget is a quantitative plan used as a tool for deciding which activities will be chosen for a future time period.

The budgeting for operations will include:

• preparing estimates of future sales
• preparing estimates of future cash collections and disbursements
• preparing estimates of the future day-to-day activities of the organization
• summarizing these estimates into an income statement and balance sheet