Accounting Management

Distinguish between Budgets and Budgetary Control A budget is a formal written statement of management’s plans for a specified future time period, expressed in financial…

Production budgets: Production budget is the projection of units that must be produced to meet anticipated sales. It is in two parts – one part…

Budgetary control refers to how well managers utilize budgets to monitor and control costs and operations in a given accounting period. Following are the pre-requisites…

Budgetary control is a methodical control of an organization’s operations throw establishment of standards and targets regarding income and expenditure, and a continuous monitoring and…

Main Features of Flexible Budget A budget may be defined as a quantitative expression of a business plan for a specified future period, usually a…

The sales budget is an estimated sale for the budgeted period. The sales budget is constructed by multiplying budgeted unit sales by the selling price.…

Major benefits of Just in Time (JIT) System Just in time system is basically a kind of inventory system in which materials are brought immediately…

Theory of Constraints (TOC) The Theory of Constraints is a methodology for identifying the most important limiting factor (i.e. constraint) that stands in the way…

Zero Based Budgeting is a method of budgeting in which all expenses must be justified for each new period. It aims to put the responsibility…

The concept of Zero Based Budgeting Zero Based Budgeting is a method of budgeting in which all expenses must be justified for each new period.…