TAILIEUCHUNG - Lecture Fundamental accounting principles - Chapter 22: Master budgets and planning

Lecture Fundamental accounting principles - Chapter 22: Master budgets and planning. This chapter describe the importance and benefits of budgeting and the process of budget administration, describe a master budget and the process of preparing it, analyze expense planning using activity-based budgeting, prepare each component of a master budget and link each to the budgeting process. | Master Budgets and Planning Chapter 22 PowerPoint Editor: Anna Boulware Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 1 Chapter 22: Master Budgets and Planning 22-C1: Budget Process and Administration 2 Communicates management plans throughout the organization. Provides a benchmark for evaluating performance. Promotes analysis and a focus on the future. Converts long-term strategic plans into short-term financial plans. Motivates employees through participation in the budgeting process and the establishment of attainable goals. Enhances coordination so that activities of all units contribute to meeting the company’s overall goals. Benefits of Budgeting C 1 3 WARNING: If not properly applied, budgets can have a negative effect on a company so make sure that budgets are realistic! The budgeting process with a company, coordinates the activities of various departments in order to meet the company’s overall goals. Most companies prepare long-term strategic plans spanning 5 to 10 years. Then they prepare shorter-term financial plans, called budgets, to guide their actions toward achieving the goals set forth in the strategic plan. Budgets are most often prepared on an annual basis, but can be prepared for any period of time. Budgets help fulfill the key managerial functions of planning and controlling. There are several benefits to having a written budget: A budget focuses on the future opportunities and threats to the organization. This focus on the future is important, because the daily pressures of operating an organization can divert management’s attention to planning. Since budgeted performance takes into account important company, industry, and economic factors, a comparison of actual to budgeted performance provides an effective monitoring and control system. Ensures that the activities of all departments contribute to meeting the company’s overall .

• Kế toán - Kiểm toán
• Accounting principles
• Fundamental accounting principles
• Lecture Fundamental accounting principles
• Cost volume profit analysis
• Cost behavior
• Measuring cost behavior
• Accounting information systems
• Fundamental system principles
• Technology based accounting systems
• Accounting information
• Financial accounting
• Managerial accounting
• Managerial cost
• Reporting manufacturing activities
• Merchandising operations
• Accounting cycle
• Completing the accounting cycle
• Classified balance sheet
• Accounting for partnerships
• Partnership form of organization
• Basic partnership accounting