Question

why is performance based budgeting important to public administrators or financial analysts?

Answer 1

Soln. Performance based budgeting creates budget based on the relationship between funding levels and respective expected result of that program. Performance based budgeting gives emphasis on explaining, why the money is spent in certain activities, which is of great benefit for both public administrators and financial analysts. Performance based budgeting, allocates resources based on their goals to achieve the desired outcome, which is again the beneficial step for both public administrators and financial analysts. Performance based budgeting mainly focus on result and public administrators & financial analysts also targets the result of the organization or economic system. Hence, Performance based budgeting is quite helpful and supportive for public administrators and financial analysts.