First of all capital expenditure should be estimated and after that on the basis of fixed assets purchase assumption depreciation can be calculated.
yes
It would be an expense budget.
Depreciation is not part of cash budget as this is not cash expense rather it is just the allocation of fixed asset cost to specific fiscal year in which that fixed asset is used so there is no cash outflow due to depreciation and that’s why it is not included.
No
How should depreciation be handled in a non profit budget?
wet
Straight-line depreciation methods are easy to understand and calculate, providing a constant depreciation expense each year. This method is widely accepted and used by companies for financial reporting purposes, as it provides a systematic and consistent way to allocate the cost of an asset over its useful life. Additionally, straight-line depreciation offers a clear and predictable rate of depreciation, making it easier for businesses to budget and plan for future expenses.
Barry is that you?
preparing the budget
An expected expense in a budget that remains constant is called a fixed expense. This means the cost stays the same each month, such as rent or a car payment.
sales manger is responsible for preparing the sales budget.
how to calculate budget variance percentage?