BUS 254 Chapter Notes - Chapter 8: Budget, Sales Operations, Financial Statement

• School: Simon Fraser University
• Department: Business Administration
• Course: BUS 254
• Professor: Arsineh Garabedian

Document Summary

A detailed plan, expressed in quantitative terms, that specifies how resources will be acquired and used during a specified period of time: developed a budgeting system o. Facilitating communication and coordination with other managers. Controlling profit and operations by serving as standards. Evaluating performance and providing incentives by comparing actual results with budgeted results o. Master budget covering all phases of a company"s operations. Budgeted (pro-forma) financial statements show how the financial statements will appear at a specified time if operations proceed according to plan. Capital budget with acquisitions of capital assets that normally cover several years. Rolling budgets continuously updated by adding a new time period and dropping the period just completed: operational budgets vary from firm to firm. Nonprofit no sales budget; level of service to provided instead. Sales revenue budget based on a sales forecast for goods or services. Past sales levels and trends o: general economic trends.