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What are the basic benefits of developing pro forma statements and a cash budget?

The basic benefits and purposes of developing pro forma statements is the firm is able to estimate its future level of receivables, inventory, payables, and other corporate accounts as well as its anticipated profits and borrowing requirements. The basic benefits and purposes of developing a cash budget are to allow the firm to anticipate the need for outside funding at the end of each month.


Explain the purposes of sales budget?

Sales budget is the most important budget while making the overall budget for the organization for a fiscal year. It is important in this sense that how would anybody make fiscal budget for organization if he don't know about how much to sale or what are the organization's sale would be. If you know the sales volume of units of product you want to sale in a fiscal year then you will make production budget according to that sales requirement in mind you will have production information in mind you will purchase raw material, hire labour according to requirements. So if you don't know about how much you want to sale then how would you budget other things and how would you compare your performance at the end of fiscal year.


Purposes of Budget?

In order to not let your self spend more money then you have.


What is the budget of Congressional Budget Office?

The budget of Congressional Budget Office is 46,800,000 dollars.


What are the components of a master budget?

an operating budget and a capital budget