Techniques/Process of Budgeting

1. Formulation of business policies i.e purchase policy, production policy, inventry/logistics policy, sales policy & finance/money policy.

2. Drafting budget forecast i.e sales forecast, purchase forecast, capital expenditure/imvestment forecast, research and development expense forecast.

3. Budgets alternative plans and selection one best among them.

4. Coordination among various departmrnt budgets.

5. Budget committee formulates master budget.

6. Approval of master budget in the meeting of the shareholders/owners.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s