Organization of budgetary control, Cost Accounting

Organization of Budgetary Control

Budgetary control ideally includes the given steps as:

1. The creation of budget centres.

2. The introduction of sufficient accounting records.

3. The preparation of organization charts.

This explains the functional responsibilities of all member of management.

A. The establishment of a budget committee as:

It will consist of financial and operating managers, who one will be essential to review, Discuss and co-ordinate business activities. The major function of this committee includes as:

  1. To issue instructions concerning budget requirements, deadline dates for the receipt of budgets.
  2. Draw up the budget preparation timetable. It obtains the form of network analysis whereby several activities are preceded via several others.
  3. To explain the common policies of management in relation to the budget.
  4. Checking initial problems and draft considered. Limiting factors are generally considered.
  5. Ensuring about the budgets is synchronized in the boundaries of available resources.
  6. To analyze comparison of budgets and real results and to recommend corrective action whereas essential.
  7. Review of budgets.
  8. Prepare or get ready the master budget after functional budgets have been prepared.
  9. The preparation of a budget manual. It is a document that sets out the responsibilities of the persons engaged in the routing of, and the forms and records essential for budgeting control. That manual will provide such information:

- Explanation of the system and its objectives.

- Definition of the duties and responsibilities.

- Reports and statements essential for each budget period.

- Deadline dates via that data are to be submitted.

Posted Date: 2/7/2013 3:13:44 AM | Location : United States







Related Discussions:- Organization of budgetary control, Assignment Help, Ask Question on Organization of budgetary control, Get Answer, Expert's Help, Organization of budgetary control Discussions

Write discussion on Organization of budgetary control
Your posts are moderated
Related Questions

I have a project for cost account and I need the solution for it

The Houston Chamber Orchestra presents a series of concerts throughout the year. Budgeted fixed costs total $300,000 for the concert season; variable costs are expected to average

Thomas Crown expects to earn the following stream of annual income for the next four years:- $41,000; $45,000; $38,000 and $50,000. Although he has adopted the Pay Yourself First s

the features and scopes of job costing

Show the effect of an increase in each of the items listed below on the FCFF and FCFE. Suppose a $100 increase in every case and a 40 percent tax rate a.    Net income b.    Cas

Absorption Costing, Marginal Cost and Marginal Costing Absorption costing is most often utilized for routine profit reporting and must be utilized for financial accounting rea

The data set for the assignment is about breast cancer.  Some of these data have been changed for the purposes of this assignment so the results from the analysis of this file may

The book of Deven Verma could not be tallied. The account transferred the difference of Rs. 1.270 in the suspense account on the debit side. the following mistakes were found later

Compute Over and Under Absorption of Variable and Fixed Overhead A company has a machine cost center for that the given information is available as a) Budget i. Budget