Budget & Budgetary Control - Dani Ki Costing - CA Final Video Lectures

Budget & Budgetary Control - Dani Ki Costing - CA Final Video Lectures

Budget & Budgetary Control - Dani Ki Costing - CA Final Video Lectures | Budget & Budgetary Control - Dani Ki Costing - CA Final Video Lectures | Budget & Budgetary Control - Dani Ki Costing - CA Final Video Lectures

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Dani Ki Costing
Final Video Lectures
Budget & Budgetary Control
Lecture 1	Part 1
	Part 2
	Part 3
	Part 4
Lecture 2	Part 1
	Part 2
	Part 3
	Part 4
Lecture 3	Part 1
Lecture 4	Part 1
	Part 2
Lecture 5	Part 1
	Part 2
The End

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Budget & Budgetary Control

Budget is nothing but the estimated calculation of any cost, profit or quantity of units required. While Budgetary Control is a technique which helps in allotting the responsibilities for any discrepancy in budget and which helps in controlling the activities of the organization so that the optimum utilization of all the resources can be achieved. Budget is nothing but planning and forecasting for the future incomes and expenses and thereby taking the organizational decisions.

Preparing budget is very complex. Prerequisites have to be provided by the organization if it wants to prepare the budgets. Such prerequisites are co – ordination of whole business, participative budgeting is required, adequate and accurate information is also a prerequisite. The main thing in preparing budget is to identify the principal factor for which budget is to be prepared.

Many different types of budgets can be prepared in the organization such as cash budget, sales budget, purchase budget, etc. All such budgets are interrelated. Budgets may be prepared with different bases. One of the budgets prepared is Zero Based Budgeting (ZBB). This method requires that cost elements are to be specifically defined and justified as they are going to become the base for future. The advantage of this method is there is no need of any standard data on which the budget is to be prepared and so it is very reliable.

There are lots of difference between Zero based Budget and Traditional Budget. Traditional Budget is Accounts oriented while Zero – based budget is useful to management as it is decision oriented process. Zero Base Budget provides motivation regarding the matter that each element or function undertaken by the organization is important for achieving organizational goal.