Accounting Foundations: Budgeting

Introduction

• Harness the power of budgets to solve problems
• What you need to know

1. The Budgeting Process in Organizations

• How does budgeting affect people?
• The budgeting process
• Behavioral considerations in budgeting
• Involving people in the budgeting process

2. Budgeting in Manufacturing Firms

• Hong Kong and the typhoon border shutdown
• The master budget
• Master budget exercise: The sales budget
• Factors to consider in your sales budget
• Closer look at our sample sales budget
• Master budget exercise: The production budget
• Master budget exercise: The direct materials budget
• Tips on maintaining accounts payable on raw materials
• Master budget exercise: The direct labor budget
• Master budget exercise: The manufacturing overhead budget
• The SG&A budget
• What a master budget can tell you about your business

3. Budgeting in Merchandising and Service Firms

• Do we have enough motherboards?
• Budgeting for merchandising firms
• Merchandising firms purchases budget
• Developing a sales budget for a service firm
• Sales budget example for a service firm
• Supplies and labor budget example for a service firm
• Overhead and SG&A budget example for a service firm
• Completing the cash budget

4. Cash Flow Budgeting

• Living from paycheck to paycheck
• Cash receipts and payments
• Financing

5. Flexible Budgeting

• Using the right benchmark
• Weakness with static budgeting
• Using the flexible budget

Conclusion

• The next steps to grow your budgeting skills