Required: Identify the problems that appear to exist in the company’s budgetary control system and explain how the problems are likely to reduce the effectiveness of the system. Explain how the company’s budgetary control system could be revised to improve its effectiveness.

Q: Managers should be closely involved in preparing their responsibility accounting budget. How true is…

A: Generally, managers should be involved in preparing their responsibility accounting budget.

Q: How are the responsibilities of accounting systems different than administrative systems? What is…

A: Since multiple questions have been posted, as per the guidelines only the first question will be…

Q: Explain the value of utilizing a balance sheet to make a budget adjustment. What is the danger?

A: The budgeted balance sheet is usually prepared at the start of the fiscal year. The organization…

Q: Briefly describe the type of human behavior problems that might arise if budget goals are set too…

A: Budget is a tool which is used in the planning and controlling process by estimating the revenue and…

Q: Discuss why budgets are so important for all organizations. Describe some advantages and…

A: Budgets are an indispensable part of business organizations because they assist business…

Q: What are some common challenges or obstacles encountered in the budgeting process?

A: The budgeting process is a systematic approach that organizations use to plan and allocate financial…

Q: Why is it important that a firm prepares a budget and how they analyze the ongoing performance? What…

A: Budgeting is a financial plan that helps the organization in effective utilization of its resources.…

Q: n January 1, 2020, Ehrlich Corporation issued 7%, 15-year bonds with a face amount of $900,000 at…

A: The bonds are the financial instruments that are issued to raise money from the market or investors.…

Q: Explain what you understand by Budgets, Fixed budgets and Flexible budgets in the context of control…

A: Organizations produce budgets for a variety of purposes, including cost control, performance…

Q: What are the benefits of tying a budget to the overall goals of the company?

A: Budgeting is an important part of the business process. Without budgeting a business cannot track…

Q: What are some examples of effective monitoring and control practices, and how do they help address…

A: Managers take necessary steps to control the costs in a particular accounting period. It is known as…

Q: Describe your understanding of budgets, both fixed and flexible, in the context of controlling and…

A: Organizations produce budgets for a variety of purposes, including cost control, performance…

Q: Budgeting can be an important management tool if implemented properly. Identify several positive…

A: A plan that is written down and followed to determine how one will spend money on a monthly basis is…

Q: What are some characteristics of performance-based budgeting? What are some advantages and…

A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only…

Q: With one exception, the following objectives are accomplished by budgeting. Which of these…

A: Budgeting is to make planning for the future and budget provides the direction and guidelines for…

Q: CE Company reported the following information for 2022: Budgeted sales $1225000 $1310000 All sales…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: What are some challenges and weaknesses that a firm may find in the budgeting process?

A: The lack of proper monitoring and review, lack of clear policy and procedures on budgets, poor…

Q: Why do the authors suggest that a thorough review of the firm’s chart of accounts, account…

A: The entire budgeting and planning exercise involves careful review and analysis of the revenues and…

Q: how can I apply MIS ( management information system ) successfully in this topic: A PERSONAL…

A: Management accounting is the act of distinguishing, estimating, investigating, deciphering, and…

Q: The standard cost of a gallon of paint manufactured by Through-the-Letters, Inc. includes 4 pounds…

A: Materials price variance = (Standard price - Actual price) x Actual quantity Materials quantity…

Q: Which of the following is not the direct benefit of the budgeting process?   Identification of…

A: The process of budgeting involves the estimation of the costs and revenues of the entity for future…

Q: indicate yes if it describes a potential benefit of budgeting orno if it describes a potential…

A:

Q: Discuss the factors that are likely to cause managers to submit budget estimates of sales and costs…

A: Budget: Budget is an effective tool to achieve the financial and operational goals of the business.…

Q: The successful use o a budgeting system Acceptance and support by key management people. A sense of…

A: Accordingly, Option (d) i.e. inclusion of "budgetary slacks" in most budgets is the correct answer.

Q: ny companies face budgetary challenges on a continual basis. Two critical aspects that businesses…

A: Budgeting is considered to buy important financial decisions which help in for casting of result and…

Cash budget

A cash budget is an estimate of an organization's cash flow for the future period. A cash budget forecasts future cash receipts and payments from various sources for a fiscal year. A cash budget can be created once a month or once a week to determine the organization's cash position and ensure its performance in relation to the budget. It aids in determining whether the company has enough cash and cash equivalents to meet its operational needs in the future. If cash receipts are insufficient to cover future expenses, an organization may plan to obtain funds from other sources. After estimating the sales, purchase, and capital expenditure budgets for the year, management develops a cash budget. These budgets are created to ensure that an organization's cash flow is managed. It is important to note that only cash transactions are recorded when actual cash enters and exits an organization.