Question

Cost planning is budgeting. Do you budget? Are budgets as helpful as theoretically proposed? Use your experience to support your response. Consider budgets from a business perspective. Which budget(s), based on reading, do you believe is/are most important to the organization's success?

Answer 1

Answer)

Budget is very important for every organisation to set targets, predict path to achieve them, monitor and achieve them. Hence, our organisation also Budget.

My answer is yes i.e budget used for theoretically proposed. For example as an General manager for marketing,I set independent reasonable targets based on sales budget which is prepared on basis of previous experiences and market situations to ensure the marketing personals take reasonable efforts for performance incentives and also for prosperity of the company.

See every budget is important for the organisation. Amount all of them I feel cash budget, Production budget and sales budget are important as cash budget does save us from going into liquidity crisis, production budget does save us from going into out of stock which may lead to loss of consumer and sales budget makes us making estimated maximise revenue that we can earn in the market with it leading to making significant effort to achieve our target.